GM Shift on Engine Stalling May Prompt New Recalls
General Motors Co. CEO Mary Barra says the company has decided to treat any engine stalling problem as a safety issue.
#regulations
General Motors Co. CEO Mary Barra says the company has decided to treat any engine stalling problem as a safety issue.
Until now, GM has classified engine stalls as a customer inconvenience. That policy has been blamed for GM's 11-year delay in recalling 2.6 million ignition switches linked to 13 fatalities.
The about-face prompted two new recalls earlier this month involving another 4 million vehicles with engine-stall problems. GM says it is now reviewing almost every model in its lineup for similar issues.
The result of the analysis could prompt yet another round of recalls. Even if it doesn't, Barra says GM's policy reversal will certainly expand the number of people eligible to receive compensation from the company.
"We want to capture every single person who suffered serious injury or lost a loved one" in a crash in which the ignition switch was "part of the issue," Barra told the U.S. House Energy and Commerce Committee last week, emphasizing the company wants to "get everybody who is affected."
GM is expected to reveal details of the compensation program next month and begin taking applications from victims on Aug. 1. The program will not address complaints by owners of recalled vehicles who say the campaigns have eroded the value of their cars.
RELATED CONTENT
-
Toyota Targets 2021 Launch for V2V Tech in U.S.
Toyota Motor Corp. plans to expand its vehicle-to-vehicle communication technology to the U.S. by 2021 and offer it across most Toyota and Lexus models in the country by mid-decade.
-
Tesla Maxes Out on Tax Credit as U.S. Sales Reach 200,000
Tesla Inc. says it will deliver its 200,000th electric vehicle in the U.S. this month, thereby triggering a phase-out of the $7,500 federal tax credit its vehicles have enjoyed.
-
Dubai to Test Digital License Plates
Next month Dubai will begin testing digital license plates that can display various messages, make payments and conduct other transactions.