Dieselgate – Threats and a Resignation – Part 2

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Last week I discussed how VW/Audi betrayed many customers by delivering diesel cars with emissions greater than government standards.  They found a way to cheat the emission tests.  After being caught, VW/Audi responded by stating, “don’t worry, the cars are safe and we are working on a fix.  We will keep you informed.”

Over the past week, VW did give us some new information.  They informed us that the CEO of North America , Michael Horn, resigned.  VW also threatened to eliminate American jobs if fines for cheating are enforced.

Michael Horn resigned a couple days ago after 6 months of dealing with the emissions scandal.  He was not able to be reached for comment, however, the company stated that he left by mutual agreement “to pursue other opportunities effective immediately.”

michael-horn-volkswagen-usa-ceo-c-spanThis is the same CEO that openly admitted that VW “totally screwed up” days after VW was caught for cheating back in September of 2015.  This is also the same CEO that has been sending me letters explaining how VW/Audi is doing everything to fix this issue and personally he is doing everything he can.  Now that he is gone, who is going to personally fix the problem?

I also found this article a bit sad.  During a company HQ meeting, one of the executives at VW stated, “Should the future viability of Volkswagen be endangered by an unprecedented financial penalty, this will have dramatic social consequences, not only in our US plants, but also in Europe and elsewhere.”  He further added, “We very much hope that the US authorities also have an eye for this social and employment-political dimension.”  The article implies VW is using scare tactics to influence the American government into reducing the punishment for lying and cheating Americans.

We are ten days away from VW’s deadline to find a fix to the emissions problem.  From the looks of it, VW is months away from implementing a solution.

As for my squeaky brake issue, you be the judge:

 

 

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One Response to Dieselgate – Threats and a Resignation – Part 2

  1. sydhavely says:

    This is clearly a collective action issue. Yet this is only the beginning. As Watergate taught us so well, the more the top guys waffle, the more they are likely to be implicated. To highlight this mess, what crisis management expert Eric Dezenhall in his book, Glass Jaw, calls the fiasco vortex, VW recently announced to its union employees in Germany that if the USEPA was unduly harsh in its punishment of VW over the defeat mechanism scandal, they would lose their jobs. The hole just keeps on getting deeper for VW. Great post, Marty.

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