Report: UP to cut executive salaries, require nonunion workers to take unpaid leave

Union Pacific Corp.'s senior executives will take a 25 percent salary cut and nonunion workers will be required to take unpaid leave, as the Class I responds to a drop in volume due to the COVID-19 pandemic, Dow Jones Newswires reported according to Morningstar.com.

The executive salary reductions will apply from May through August. Nonunion workers will be required to take one week of unpaid leave each month during the same period. About 85 percent of UP's 37,000 workforce are represented by unions.

UP logged a 24 percent drop in carloads and intermodal containers shipped last week versus a year ago.

UP reports first-quarter 2020 results on Thursday.