Recalls

Automakers Delay Recalls to Minimize Negative Attention: Study

  • Automakers tend to delay announcing recalls until they can “hide in the herd” of other recalls, lessening the attention paid to their recall and the negative impact on their stock price, a recent study suggests.
  • The study found that 73 percent of recalls are announced in clusters, suggesting that there is a pattern to recall announcements, rather than recalls being randomly called.
  • The study authors recommended that the National Highway Traffic Safety Administration (NHTSA) require automakers to promptly disclose the date they first became aware of a problem.

    Rather than announce recalls as soon as they surface, automakers wait until they can blend into a crowd of other recalls, an academic study suggests. This “clustering” of recalls reduces the attention paid to a given recall, and that lessens the negative impact on the stock price, because the automaker that initiates a cluster of recalls is the one that gets the

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    Jeep Recalls 43,000 Wranglers, Gladiators with Manual Transmissions

    2020 jeep gladiator

    Michael SimariCar and Driver

    • Jeep has issued a recall for 42,887 of its vehicles, including the 2018 to 2021 Wrangler and 2020–2021 Gladiator with manual transmissions.
    • The clutch pressure plate in these vehicles can overheat and fracture, leading to an increased risk of fire.
    • Jeep said that the recall will be remedied through a software update.

      Jeep has issued a recall for 42,887 2018–2021 Wrangler and 2020–2021 Gladiator vehicles with manual transmissions over a pressure clutch plate problem. The clutch pressure plate, which transfers power to the clutch, can overheat as a result of friction and then fracture, ultimately leading to the possibility of the transmission case cracking and expelling heated debris. This could cause fire.

      Jeep said in a filing with the National Highway Traffic Safety Administration (NHTSA) that this isn’t the result of a faulty part. Rather, it’s a design issue and will be remedied with updated

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