DETROIT, MI – Wheels aren’t the only things rolling at General Motors these days. Heads are too.
CEO Mary Barra says 15 people have been cut loose and five more are being disciplined over all recent recall business. A new internal report shows that ignition switch issues were initially noted by the company back in 2004, but 2.6 million cars affected weren’t recalled until this year.
“This should have never happened. It is unacceptable,” said Barra in public statements on Thursday.
The car-maker estimates that 13 people died as a result of the problem, which made cars prone to shutting off on the road.
Barra says GM is creating a compensation program for those affected. They are also being fined $25 million and the recall itself is expected to cost about $2 billion.