SUSSEX, WI — Local businesses have borne the brunt of the coronavirus public health emergency and Sussex-based Quad/Graphics, Inc. has pared down company operations during the economic downturn.
Among the most notable changes are a temporary furlough program that has company-paid medical benefits, and salary reductions for more than 300 of the company’s top employees.
Quad/Graphics officials implemented a temporary furlough program throughout all areas of the company and have temporarily ceased operations at a number of manufacturing facilities.
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“We have faced tough times before and persevered. While the COVID-19 pandemic is unique and presents uncertainty, I am confident in our ability to find a better way and weather this storm,” Joel Quadracci, Quad’s Chairman, President and CEO.
Recent COVID-19 changes made by the company:
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Suspended all domestic and international travel.
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Implemented temporary salary reductions for over 300 leaders, including a 50 percent salary reduction for the CEO and a 35 percent reduction for the other named executive officers.
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At the recommendation of the Board of Directors, temporarily reduced directors’ fees by 50 percent.
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Implemented a temporary employee furlough program with Company-paid medical benefits.
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Changed vacation policies.
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Suspended production at several manufacturing facilities where declining client volume or other effects of the pandemic have impacted the Company’s ability to operate.
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Delayed capital spending projects.
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Increased borrowings by $100 million under the credit facility to increase cash on hand to approximately $200 million to ensure continued financial flexibility.
Quadracci said company officials have directed employees who can work from home to do so, implemented on-site social distancing, and increased sanitizing in key areas for employees working in essential manufacturing facilities.
“We will continue to prioritize the health and well-being of our employees while making the tough but necessary decisions to protect the financial health of Quad. Through it all, we will continue to provide extraordinary client service and quality to quickly meet our clients changing needs and innovate new ideas to help them maintain business continuity and consumer engagement during this period of uncertainty,” Quadracci said.
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This article originally appeared on the Waukesha Patch