Tom Cuny test drives an electric motorcycle at Worth Harley-Davidson in Kansas City, Mo., on Thursday, Sept. 4. The motorcycle maker is showcasing the electric bike as it seeks to attract more women, young adults and minority customers. Those groups have been less interested in Harley's traditional heavy bikes.
MILWAUKEE (AP) — Harley-Davidson Inc. says it expects to lay off about 225 salaried employees by the end of the year to cut costs amid a sluggish U.S. motorcycle market.
The cuts amount to about 5 percent of the company's workforce. The Milwaukee Journal Sentinel reports that about 70 contractors also will be affected.
The company says it will incur up to $25 million in employee separation and reorganization costs as it cuts production and reduces workers.
Harley-Davison has 1,024 salaried employees at its Milwaukee headquarters and 3,246 salaried employees worldwide. The company has not disclosed where the job cuts will take place.
The company on Tuesday reported an 18.7 percent decline in third-quarter profit on lower sales and said it would cut costs.