General Motors CEO: No More Dismissals Planned Relating to Switch Recall

Jun 10, 2014 01:15 PM EDT | Matt Mercuro

General Motors Co Chief Executive Mary Barra has announced that no more employee dismissals were planned relating to the way the company handled a defective ignition switch linked to at least 13 deaths.

Since earlier this year, the Detroit automaker has had to answer questions regarding why it took over 10 years before it started recalling low-cost Chevrolet Cobalts, Saturn Ions, and other vehicles with faulty ignition-switch issues that were causing them to stall while being driven.

"We feel we've taken the appropriate actions as it relates to the ignition switch recall," Barra said to reporters before its annual shareholders meeting, according to Reuters.

The switches can cause engines to shut off while driving, leading to a sudden loss of power steering, power brakes and failure of air bags to deploy in the event of a crash.

Fifteen company employees were fired last week, including a number of high-ranking executives, for their roles in the controversial recall.

Barra said that the internal report was a fulcrum for change.

"It's not about putting behind us, it's about using the learnings and the failing that we had, to make sure that we improve the whole development process and the culture, which we're continuing to work on," she said.

GM plans to set up a fund to compensate victims of crashes linked to the faulty switches. The number of deaths linked to the defective part could increase, and Barra restated that fund administrator Kenneth Feinberg would decide the number.

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