Subaru’s Success In The US Brings More Struggle Back In Japan

Subaru has been enjoying record sales for years now in the US but apparently this success applies big pressure on the company’s facilities in Japan.

AutoNews reports that Subaru admitted that in some of its Japan-based facilities, thousands of workers were forced to work overtime without getting paid for it.

Subaru has since reimbursed the affected workers and said that this impacted only a small portion of its 17,000-strong workforce in Japan.

One of the workers was reportedly forced to work up to 105 hours of overtime in a month, while quality control is also suffering, partly because demand for new Subaru models exceeds the current supply.

The Japanese automaker has been plagued with production issues over the past few months -even resulting into a temporary production halt in its Yajima factory.

Subaru’s struggle has started to affect the U.S. market for a few months now. “We continue to be concerned that (Subaru) is not making the necessary investments and changes fast enough to ensure that vehicles are being produced with the quality the brand and its customers deserve,” the company’s U.S. National Retail Advisory Board wrote in a resolution to Subaru’s high-rank executives in the U.S and Japan on September 18, 2018, following the recall of the US-built Ascent SUV.

In addition, Subaru CFO Toshiaki Okada said that the increased demand should have forced the company to increase their capacity “accordingly in terms of management and facilities” but they simply didn’t. Apparently Subaru is only now looking for ways to start the necessary expansion.

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  • alexxx

    Well…didn’t expect that from Japanese people…

    • Loquacious Borborygmus

      Once the reliability and quality goes what have they got left?

      • salamOOn

        unpaid overtimes.

        • Loquacious Borborygmus

          Haha! They could always fall back on their good looks…

          • erly5

            LOL! They do possess one ugly range of vehicles.

      • HaltestelleLuitpolthafen

        Resale value.

        • Loquacious Borborygmus

          Not when the r & q go they wont.

      • alexxx

        Well that could be said for every manufacturer if they lost their main selling points

        • Loquacious Borborygmus

          Yes but we’re discussing the issue of Subaru struggling to make cars which is impacting on the quality/reliability.
          I wasn’t discussing any other brand.
          There’s an old saying:
          If your aunt had balls she’d be your uncle.

  • salamOOn

    omg just pay for overtime, please. its right thing to do.

    • Mike anonymous

      You can only make so many cars in a day.

  • EM1

    Suzuki is having production issues with the Jimny as demand is very high.

  • Rocket

    The Ascent’s launch hasn’t gone terribly well. Subaru can’t afford to screw up the Outback’s launch, so I hope they learned from it.

    Some companies really struggle with rapid growth.

    • alexxx

      Seems they are surprised with success

  • klowik

    Subaru’s unique offering of AWD and high-riding models at a competitive price finally got discovered by the American??

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