General Motors chief executive Mary Barra has declared that the carmaker has “substantially completed” its recalls. She said that the carmaker is working hard to ensure that new vehicles coming out of production lines have higher levels of quality and safety, noting that GM is focused on being industry leaders on these fields.
She disclosed that GM has benchmarked externally the aerospace industry and the nuclear industry – both requiring a “true zero-defect mentality.” Barra also reiterated GM’s commitment to putting the consumer first. She said the US carmaker won’t think twice to recall more vehicles if the need arises.
GM has allocated at least $400 million as part of a fund intended to compensate victims of 2.59 million recalled compact cars with possibly faulty ignition switch. The defect has been tied to at least 13 deaths.
The US carmaker posted a second-quarter profit that failed to match expectations of analysts, no thanks to the one-time charge, recall costs and other charges.
GM is currently facing lawsuits filed by customers who said their vehicles lost value due to the recall. A bankruptcy judge who also presided over GM’s bailout in 2009 has yet to decide how much these customers could claim from the Detroit carmaker.