GM recall blitz isn't over
General Motors CEO Mary Barra said today that a tendency to recall will be the “new norm” at GM as the automaker sets out to fix problems that led to its safety crisis.
GM has issued 30 recalls covering more than 3.8 million in the United States this year. That is a dramatic increase over recent years. In 2013, the company issued 23 recalls covering 757,677 vehicles.
Speaking today at a town hall-type meeting in suburban Detroit, Barra said that GM will remain more aggressive in bringing its vehicles back into dealerships for repairs.
“In the near term,” she said, “you might expect to see a few more recall announcements.”
Later, in a conference call with analysts, CFO Chuck Stevens said GM's pace of recalls will go "back to historical levels, or slightly higher" after the second quarter.
During the same call, Barra also said she expects GM’s “redoubled” focus on recalls “to be substantially completed” by mid-year. Barra said GM’s future recalls will likely encompass fewer vehicles, even if the number of recalls is elevated. She noted that seven of this year's callbacks involve fewer than 1,000 vehicles.
She said it’s possible that GM will incur more recall-related charges beyond the $400 million that it had previously said would be taken for the second quarter.
Mike Colias contributed to this report.
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