Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

GM fires 15 over ignition scandal  Join our daily free Newsletter

MENAFN - Arab News - 06/06/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab News) Washington: general motors chief executive mary barra said the company has fired 15 mostly top executives over the deadly ignition scandal that has placed the automaker under federal investigation.

but barra said an internal investigation into why the company did not act on the problem for 11 years concluded there had been no concerted effort to hide it but showed instead a 'deeply troubling" history of failure.

she said the company would take full responsibility for the problem only revealed in a huge recall earlier this year and was setting up a compensation fund for victims of accidents tied to the faulty ignitions.

'the cobalt saga was riddled with failure" she told a meeting of company employees referring to the main car model affected by the problem.

'we misdiagnosed the problem from the very beginning... we have to own this problem."

barra said she 'was deeply saddened and disturbed" by the report by former us attorney anton valukas recruited by the top us automaker to find out why it took so long for the ignition problem to come to light.

the report showed many people in the company had been aware of the problem in which ignitions could be easily jolted into the off position while a car was still running shutting down power steering and the safety airbags.

the company has said it knows of more than 30 accidents where the ignition problem led to non-deployment of the airbags and 13 deaths.

the us auto safety regulator the national highway traffic safety administration said it thinks the death toll could be higher.

and the independent center for auto safety said it had counted more than 300 deaths linked to airbag non-deployment in the gm cars covered by the ignition recall thogh it has not linked that problem to ignition shutdowns.



gm is facing a federal criminal probe and a congressional investigation for not having recalled the cars years ago and victim lawsuits that could total in the billions of dollars according to analysts.

barra would not say how the compensation currently being studied would be awarded.

however she said 'we are going to do the right thing for the affected parties."

she said the valukas report showed a history of management deficiences and poor judgments with numerous company employees touching the issue but none seeing a significant problem or taking it to top management.

'pieces of information and clues did not get put together" she said.

'no one took responsibility."

even so she said the valukas report found there was 'no conspiracy by the corporation to cover up facts."

it also cleared her and gm executive vice president mark reuss her right-hand-man of blame in the saga.

barra became chief executive on january 15 after a lifetime career in various positions in the company.

one month later the company began the recall of some 2.6 million cobalts and other models from the 2004-2011 model years for ignition problems.

since then gm has plumbed deeply into its safety files and initiated recalls of more than 15 million cars in an effort to ward off fresh scandals and begin rebuilding the company's battered reputation.

barra said there are likely more recalls in store in the near future and that an 'aggressive" stance on product recalls is 'the new norm" at gm.

she told employees that it was now unacceptable to not speak up about a safety problem in gm cars.

'we need to hold each other accountable" she said.


 


Arab News




  MENA News Headlines
 Jun 30 2016 - Tennis: Roger Federer ends Willis' Wimbledon fairytaleMuscat Daily
(MENAFN - Muscat Daily) Marcus Willis'' Wimbledon fairytale came to an end against Roger Federer, but the British qualifier''s 6-0, 6-3, 6-4 defeat couldn''t ruin a day to remember for the new star ...

 Jun 30 2016 -  Tough love: psychology of Argentina's Messi relationshipMuscat Daily
(MENAFN - Muscat Daily) Like neurotic parents, Argentines swung from criticism to unconditional love for their star footballer Lionel Messi this week, providing the soccer-mad nation''s many ...

 Jun 30 2016 -  Cricket: Anil Kumble takes charge with eye on bowlersMuscat Daily
(MENAFN - Muscat Daily) Anil Kumble thinks a year - and 17 Test matches - is enough for India to make its mark on all three formats of cricket. Kumble''s one-year contract as coach of the national ...

 Jun 30 2016 - Golden age Hollywood starlet Olivia de Havilland turns 100Muscat Daily
(MENAFN - Muscat Daily) Paris- Screen legend Olivia de Havilland, who turns 100 on Friday, is the last surviving star from "Gone with the Wind" and one of the last great stars of ...

 Jun 30 2016 - Obama to campaign with Clinton, Trump shrinks gapMuscat Daily
(MENAFN - Muscat Daily) Washington- President Barack Obama will campaign with presumptive Democratic White House nominee Hillary Clinton for the first time next Tuesday, as a new poll shows a ...

 Jun 30 2016 - New York's Empire State Building to go dark for TurkeyMuscat Daily
(MENAFN - Muscat Daily) New York- New York''s famed Empire State Building will go dark on Wednesday in tribute to the 41 people killed and 239 wounded in a suicide attack at Istanbul''s main ...

 Jun 30 2016 -  Brazil has 'total confidence' in Olympics securityMuscat Daily
(MENAFN - Muscat Daily) Rio de Janeiro- Brazil has "total confidence" that it can ensure security for more than half a million tourists and athletes attending the Rio Olympics this August, ...

 Jun 30 2016 -  Eight killed as fire guts pharmacy in IndiaMuscat Daily
(MENAFN - Muscat Daily) Mumbai- Eight people were killed when a fire gutted a pharmacy in India''s financial capital Mumbai on Thursday, police said. One other person was seriously injured in the ...

 Jun 30 2016 -  Engine failure, errors by crew led to deadly Taipei crash: reportMuscat Daily
(MENAFN - Muscat Daily) Taipei - A plane crash in Taiwan that killed 43 people when a passenger jet plunged into a river was caused by engine failure and flight crew errors, a damning final ...

 Jun 30 2016 - NY entrepreneur swapping start-ups for charityMuscat Daily
(MENAFN - Muscat Daily) New York- After making millions before turning 40, a New York-based entrepreneur is dreaming of transforming charitable giving by bringing his start-up stardust and ...

more...


 





Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help