Financial News

  • 24 July 2014, 13:05

General Motors Issues Fresh Safety Recalls

General Motors has issued fresh recalls for nearly 823,000 vehicles, bringing the auto maker's recall total to nearly 30 million this year.

The six new recalls announced on Wednesday affect more than a dozen models, including the Chevrolet Camaro,Buick Regal, Chevrolet Silverado,GMC Sierra andCadillac ATS.

They bring thecompany's 2014 recall total to a record 29.8 million cars and trucks.

"These recalls signify how we've enhanced our approach to safety," GM's vice president of global vehicle safety, Jeff Boyer, said in a news release.

"We are bringing greater rigor and discipline to our analysis and decision making. If we identify an issue - large or small - that might affect the safety of our customers, we will act decisively."

The largest of the new recalls is related to faulty seats, the company said.

Other problems includeincomplete welds on seat brackets, turn signal failures, power steering failures, loose suspension bolts and faulty roof rack bolts.

GM is in the midst of a company-wide safety overhaul after an internal review ordered by CEO Mary Barrafound a "pattern of incompetence and neglect". Fifteen employees were sacked as a result of the review.

The spate of recalls began in Februaryafter trial lawyers discovered that GM knew about a small-car ignition switch problem for more than a decade, but failed to act.

The company says 13 people have died in crashes linked to the faulty switches, but lawmakers and lawyers say the death toll is closer to 100.

GM has set up a fund to compensate victims and their families.

The company also agreed in May to pay a $35m (21m) federal fine for concealing the defects for more than a decade.

GM's recalls in the first quarter alone cost the company $1.3bn (776m).

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