Chrysler CEO Marchionne Fears Auto Industry Will Overreact to Recalls

By | May 27, 2014
Thanks to all the negative press General Motors has received over its massive recalls, Fiat Chrysler Automobiles CEO Sergio Marchionne fears the auto industry may overreact to future recalls. Because GM may have pushed off the recall that has now been associated with at least 13 deaths, regulators could react with heavier scrutiny. Earlier this month at a forum in Auburn Hills, Mich., Marchionne said, "On recall issues, you're going to see a heightened level of sensitivity. You may see excessive corrective actions. Today there is a feeling of angst and a feeling of concern inside the house about what's going on. I understand it. We just have to manage our way through." While what Marchionne says may be true, the safety and peace of mind of consumers should be a top priority among automakers when handling recalls. Because of the delay with the GM recalls, and the excessive number of affected vehicles, the NHTSA may push to extend recalls or open investigations into issues that may not seem serious enough for a full-blown recall.
Even Chrysler can't escape this craze. Back in 2013, the automaker received a complaint about excessively firm brake pedals for certain Dodge and Jeep SUVs. Because of that, Chrysler made a production change and added a special coating to the joints to resist rust. Shortly after, complaints came in about water corroding the same joints. And while there was only one related accident, an investigation may be opened. Source: The Detroit News