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GM Ignition Switch Defect

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Zach Barth

on 23 April 2014

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Transcript of GM Ignition Switch Defect

Late Response
2001: defect detected in Saturn Ion
2004: same issue noticed in Chevy Cavalier
2005: GM rejects proposal to fix ignition (sends bulletin to dealers)
2005: July-fatal accident with 2005 Chevy Cobalt
2007: NHTSA emails GM Office of Defects about Cobalts & Ions (29 complaints, 4 fatal crashes, 14 field reports)
2012: GM identifies 4 fatal crashes, all Saturn Ions
2013: deposition by GM engineer
2014: GM notifies NHTSA of defect in 619,122 vehicles
GM took over a decade to respond to problem
Ignored warnings from engineers and accidents
First death from defect in 2005
13 deaths attributed to ignition issue
Cost of $1.3 billion to GM
Zach Barth
UN 1015

GM Ignition Switch Defect
Recall issued by GM for over 1.5 million vehicles
Issue with ignition caused vehicle to turn off while driving
Ignition malfunction linked to at least 13 deaths so far
Had ample time and resources to resolve

Simplicity of Fix
GM could have resolved issue for extra $.57 per vehicle
Chose to not fix due to additional cost and time frame
Total of less than $500k for all repairs
Basu, Tanya. "Timeline: A History Of GM's Ignition Switch Defect." 31 March 2014. NPR. 7 April 2014.
Bubala, Mary. "Md. Teen First Death Linked To Faulty GM Ignition Switch." 1 April 2014. CBS Baltimore. 6 April 2014.
Healey, James. "GM recalls recalled cars for new defect, costs mount." 10 April 2014. USA Today. 12 April 2014.
Ivory, Danielle. "G.M. Reveals It Was Told of Ignition Defect in ’01." 12 March 2014. NY Times. 3 April 2014.
Press, Associated. "Cost to fix faulty General Motors ignition switch behind 13 deaths was 57 cents: congress." 1 April 2014. NY Daily News. 12 April 2014.
Turkus, Brandon. "GM expands ignition switch recall to over 1.3 million cars amid climbing death toll." 25 February 2014. AutoBlog. 5 April 2014.
Woodall, Bernie. "GM to take $1.3 billion charge in first quarter due ignition switch recall." 10 April 2014. Reuturs. 12 April 2014.
YouTube. (http://www.youtube.com/watch? v=rnqWL6bF6hU).
Full transcript