Four More Recalls for GM
Posted on December 21, 2015 Written By: iadminlaw
05/20/2014
GM recalled another 2.42 million cars Tuesday. There were four recalls, none of which were related to the ignition switch issue.
GM did not recall the affected vehicles until over ten years later. Investigations have been conducted and federal fines issued to address the reasons why this occurred.
GM’s total recall number came to 13.7 cars in the U.S. There will be a $400 million charge for GM in the second quarter earnings.
The first issue that was addressed in Tuesday’s recalls were regarding SUV’s in which the air bags were not properly installed making them expand improperly.
GM contacted owners by several means urging them to have the cars fixed. The recalls invovled 1,402 Cadillac Escalades and Escalade ESV’s manufactured in 2015.
The second recall involved 1,339,355 new and used 2009-14 SUV’s including the Buick Enclave, Chevrolet Traverse, and GMC Acadia, also the 2000-10 Saturn Outlook. These models have a faulty cable which may cause the seat to malfunction.
Another recall made on Tuesday affected 1,075,102 Chevy Malibu, Malibu Maxx, and Pontiac 6 models from the years 2004-08.
In these models there is a faulty cable in the transmission making it impossible to change gears remove the key from the ignition or put the car in park.
The fourth recall was of 2015 Chevrolet Silverado HD and GMC Sierra HD heavy duty pickup trucks. The trucks risk fire if the fuse box comes loose.
The total cost of GM’s recalls for 2014 is $1.7 billion.
This years auto recalls look to be the largest number of recalls since 2004. Twenty-three million cars have been recalled so far.
The ignition switch issue wasn’t addressed for 13 years. An ensuing bevy of lawsuits, publicity, and investigations occurred. GM was issued a $35 million fine for the delay in recalling the vehicles. Customers are suing GM for upwards of $10 billion for the faulty ignition switches. This recall involved 2.6 million vehicles.
GM is expected to survive the setback. Some models of cars affected have been taken out of production.
