GM fires employees after probe into Tavera recall

Vice-president for global engine engineering among those let go

General Motors Co has dismissed several employees after an internal investigation into the recall of a sport-utility vehicle built and sold exclusively in India uncovered violations of company policy, the automaker said.

“We take these matters very seriously and hold our leaders and employees to high standards,” Greg Martin, a GM spokesman at the company’s Detroit headquarters, said on Friday in an emailed statement.

“When those standards are not met, we will take the appropriate action to hold employees accountable.” The fired employees included workers in India and the US, GM said without specifying the number involved. The announcement comes as the Indian government opens an investigation into GM’s subsidiary after the unit said employees manipulated emissions tests during the past eight years to comply with requirements, one person familiar with the situation said.

The government is reviewing its systems and investigating GM to see if there were systemic errors, wilful negligence or other wrongdoing, Ambuj Sharma, joint secretary at the Ministry of Heavy Industry, said on Friday. The report should be completed next month and GM faces the possibility of monetary penalties and production stoppage, Sharma said.

The Economic Times earlier reported GM said in a July 18  letter to the government that an internal investigation uncovered employees manipulating emissions tests for the Chevrolet Tavera SUV. Automotive News reported on July 26 that Sam Winegarden, GM’s vice-president for global engine engineering, was fired along with about 10 other people.

On July 24, GM announced a recall of the Tavera from 2005 through 2013 to “address emissions and specification issues”. The company at the time said it was “not safety-related”.

GM fell 1.1 per cent to $36.67 at the close in New York. BAD PARTS, WORSE PRACTICES

• The government has opened an investigation into GM’s subsidiary in India after the unit said employees manipulated emissions tests during the past eight years to comply with requirements
• On July 24, GM announced a recall of the Tavera bulit between 2005 and 2013 to “address emissions and specification issues”. The company said it was “not safety-related”