GM Announces Recalls by Service Bulletins to Car Dealers and Owners, Not Public Releases

An analysis has found that General Motors issues service bulletins to car dealerships for recall information, a move that some say doesn't effectively inform the public of vehicular issues..

GM cars have long been the subject of criticism due to some faulty designs observed in their units, according to the analysis made by the New York Times. Findings from the Times' probe showed that since GM recovered from their bankruptcy in 2009, officials have sent out service bulletins and letters to car dealers and owners informing them of the defects instead of announcing a recall. The company's new chief executive, Mary Barra, stated that this is an "extraordinary situation" and an isolated event.

But in the past 15 months, GM has started recalling vehicles due to safety problems in airbags, power steering and electrical systems. These recalls were preceded by countless letters and bulletins informing concerned parties of the defects, but failed to offer repairs or stage a recall. In one case, the company released three bulletins starting 2005 addressing the problems for power steering in the Saturn Ion. Recalls for this car unit only started on March 2014.

"There's no question that service bulletins have been used where recalls should have been," former head of the National Highway Traffic Safety Administration Joan Claybrook told the The Times. "It's highly inappropriate."

GM hasn't yet responded on The Times' review.

Car companies are allowed to send out service bulletins and letters, but these alerts should be used to inform car dealers about low-level problems like a non-functioning interior light, or issues with the air conditioner. However, the use of service bulletins to address serious problems that may compromise the car's safety as well as the person driving it is illegal, as the law mandates that such problems should be handled with official recalls.

This month, CEO Barra faced a panel of lawmakers questioning the company's failure to recall its vehicles with faulty ignition switches for roughly a decade. The company initially defended their case by saying that there was insufficient evidence despite more than 200 complaints from consumers since 2003.

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