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Honda Execs Take Pay Cut Over Quality Problems
Honda Motor Co. is responding to the fifth recall of its redesigned Fit five-door hatch in 12 months by appointing a quality czar and docking the pay of 13 senior executives 10%-20% for three months beginning in November.
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Honda Motor Co. is responding to the fifth recall of its redesigned Fit five-door hatch in 12 months by appointing a quality czar and docking the pay of 13 senior executives 10%-20% for three months beginning in November.
The company has appointed Koichi Fukuo as its new head of quality reform, effective Nov. 1. Fukuo also will lead the company's Honda R&D Co. He will relinquish his current duties as head development for Acura, large vehicles and advanced powertrains.
The latest Fit recall will replace the power control unit, which is susceptible to electrical interference, and ignition coil in 426,100 units. All but a few hundred cars are in Japan, and none is in the U.S.
Honda also has launched a global review of its quality processes. The program could delay the launch of the company's new HR-V small crossover in North America. The vehicle, which shares its platform with the Fit, will be produced in Honda's new factory in Celaya, Mexico. AN says manufacturing glitches have already delayed the plant's rollout of the new Fit.
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