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More Recalls the Latest Bad News for General Motors

Just as an attorney was announcing details of a settlement agreement between General Motors officials and the families of those killed or severely injured due to a safety defect, came word of yet another recall by the automaker.

Another round of recalls bringing the automaker’s recovery into question

GM announced on Monday that it would be adding 8.2 million more vehicles to it’s list of recalls bringing the total this year to 29 million.  That is 7 million more than recalls for all of last year.

MSN.com is reporting today that the problem is again with “unintended ignition key rotation.”

It is the same problem that has been blamed for the deaths of 13 people and has led to compensation claims against the automaker.

The latest recall affects Chevrolet Malibu models from 1997 to 2005, Pontiac Grand Prix models built between 2004 and 2008, and Cadillac CTS vehicles from 2003 to 2014.  Some of them assembled in Michigan.

The report indicates that the company is aware now of three deaths and eight injuries involving those vehicles, although there has been no conclusive evidence that faulty ignition switches were to blame.

The problems can turn the ignitition swiitch from “run” to “accessory” shutting off the engines.  It also affects a driver’s ability to steer and brake.

Some at the automaker admitted they knew of the potential of a problem for more than a decade but didn’t call for a recall until this year.

GM was ordered to pay a $35 million dollar fine to the National Highway Traffic Safety Administration and is looking at forking over billions more in compensation claims.

Trading of GM stock was suspended for a time on Monday after word of the amount of the settlements.

Meanwhile, in other automotive news,  Chrysler has issued a recall for some Dodge Journey SUV’s and Caravan Minivans along with Chrysler Town and Country models built from 2007 to 2009.  The problem there also involves faulty ignition switches.

Join Jo Anne Paul and Steve Gruber weekdays from 5:30 to 9 AM on 1240 WJIM-AM and the Stations of the Michigan Talk Network.  Join the discussion by calling our hotline at (888) 900-9966!

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