KAHULUI -- Maui Land & Pineapple Co. announced today it will cut 100 positions at its Kapalua Resort and corporate headquarters in Kahului.
The company also reduced salaries by 10 percent for all remaining employees. The pay cut matches one taken previously by senior managers and all employees in the company's agricultural division on Jan. 1.
"Like so many companies around the world, the unprecedented economic environment requires us to make very difficult choices," said Warren Haruki, the company's executive chairman. "While we remain hopeful for an eventual economic turnaround, we must respond decisively to current conditions. With forecasts for fewer tourists, a tough real estate market and tight financing for the next several years, we need to be prudent and move ML&P to a more competitive cost structure. By doing so, we position ML&P for future success when the economic situation improves."
The company's move today follows layoffs of 274 employees in July. Most of those, 204, were from Maui Pineapple Co. The remaining job cuts last year were 46 and 24 positions respectively from ML&P's Kapalua Resort and community development divisions.
In today's announcement, the company said it also is taking other cost-saving measures. Those include: closing and consolidating offices, eliminating all nonessential travel, cutting outside contractor support, trimming operating budgets and placing some projects on hiatus.
The job cuts, salary reductions and other actions are expected to save the company $7 million in annual operating expenses.
