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 GM on Monday recalled 3.36 million midsize and fullsize cars
globally with ignition switches that can be jarred out of the "run"
position, potentially affecting power steering, power brakes and air
bags.
The switch issue is similar to the defect linked to at least 13
deaths in an earlier, 2.6-million vehicle recall of Chevrolet
Cobalts and other small cars.
GM engineers first noted the Cobalt problem more than a decade ago,
and GM's slow response to the switch issue triggered investigations
within the company and by Congress and federal agencies.
"The recall is just sort of the tip of the iceberg in terms of what
has to be done" at GM, Senator Richard Blumenthal, a Democrat from
Connecticut and one of GM’s more vocal critics in Congress, said
after Monday's recall.
GM said the engineer who designed the defective Cobalt switches, Ray
DeGiorgio, also designed the switches on the latest batch of
recalled cars. DeGiorgio was fired after the earlier recall. He
could not be reached for comment.
GM has issued 44 recalls this year totaling about 20 million
vehicles worldwide, which is more than total annual U.S. vehicle
sales. Of the recalls this year, nearly 6.5 million of the vehicles
were recalled for ignition switch-related issues, including more
than half a million Chevrolet Camaros on Friday.
The automaker raised a recall-related charge for the second quarter
to $700 million from $400 million. That takes GM's total
recall-related charges this year to $2 billion.
Despite the rash of recalls this year, GM U.S. sales rose in May to
the highest level since August 2008.
GM's high profile problem this year has catalyzed recalls at other
automakers, said David Cole, chairman emeritus of the Center of
Automotive Research in Ann Arbor. He described the recent flurry of
activity as "recall spring."
"If it were unique to GM, I would say it is a much more serious
problem," said Cole.
Clarence Ditlow, Executive Director Center for Auto Safety Of
Monday's recall, said GM could not afford to take a chance on not
recalling a car. "Their calculus has totally changed," he said.
GM said it was aware of eight crashes and six injuries related to
the latest recall, and that there were no fatalities.
The automaker on Monday said it would replace or rework ignition
keys to eliminate a slot in the end of the key. The slot allows a
dangling key ring to slip to one side and pull the ignition key out
of run position.
"The use of a key with a hole, rather than a slotted key, addresses
the concern of unintended key rotation due to a jarring road event,
such as striking a pothole or crossing railroad tracks," it said.
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A spokesman said the ignition switches did not need to be replaced,
even though they were "slightly" below the company specification for
torque -- the force needed to move the switch out of the run
position.
The latest recall includes Buick LaCrosse, Chevrolet Impala,
Cadillac DeVille and several other models, though only the Impala is
currently in production. The cars cover model years 2000 through
2014.
Monday's recall comes two days before CEO Barra is due to return to
Congress to testify about the earlier Cobalt recall.
Barra will be joined by Anton Valukas, chairman of GM's outside law
firm Jenner & Block, who conducted a months-long investigation that
detailed deep flaws in GM's internal decision-making process.
The so-called Valukas report triggered the departures of 15 GM
employees, including several high-ranking executives in the legal,
engineering and public policy groups, as well as DeGiorgio.
GM said Barra wants to update Congress on the actions the company
has taken in response to the switch recall crisis, including fixing
the failures outlined in the company's internal report, announcing
plans to establish a victims' compensation fund and setting up a
structure at the company to ensure vehicle safety.
The U.S. National Highway Traffic Safety Administration, which
administers vehicle recalls, said Monday that it would "monitor the
pace and effectiveness" of the latest GM recall and "take necessary
action as warranted."
(Additional reporting by Bernie Woodall in Detroit, David Lawder in
Washington, DC, Narottam Medhora and Sampad Patnaik in Bangalore;
Editing by Peter Henderson and Bernard Orr) ((Peter Henderson)
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