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Posts Tagged ‘Mary Barra’

GM Recall Scandal Is Actually Increasing Sales

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Here’s one we had to post quickly in the All News Is Good News category, because we’re still slightly shocked.

From a senior Edmunds analyst discussing GM’s current status in The New York Times this morning:

“You’d think it would damage their brand. But it’s actually helping to drive purchases at the dealership. You come in to have your old car fixed and see the new designs and technology, and wind up thinking ‘Maybe I’ll buy a new car.’”

Also:

“G.M. is also quietly offering additional discounts to owners of the 2.6 million vehicles recalled as part of the original ignition switch problem. The automaker has authorized dealers to offer employee prices to owners who inquire about a new purchase.”

It’s true that this is part of a larger trend as the auto industry finally recovers from the recession…but surely the latest wave of recalls and the generally negative response to CEO Mary Barra’s follow-up has led to a decline in GM’s stock prices, right?

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GM Recalls 8.2 Million More Cars for Potential Safety Issues

GM Ignition Recall Safety InformationAnother day, another recall of dangerously flawed GM vehicles.

The latest recall, which affects 8.2 million more cars, brings the total number of recalls this year to over 28 million. That means the company has actually recalled more cars this year than it has sold in the past seven.

Seriously.

This most recent batch, involving “unintended ignition key rotation,” includes seven different vehicle types, including the Chevrolet Malibu from 1997 to 2005, the Pontiac Grand Prix from 2004 to 2008, and the 2003-2014 Cadillac CTS. The company also announced four other recalls that cover over 200,000 additional vehicles, most of which are due to an electrical short in the driver’s door that could potentially disable the power locks and windows and might even cause overheating.

A company statement regarding the ignition key issue features comforting sentiments like the fact that GM is aware of three deaths, eight injuries and seven crashes involving the vehicles recalled on Monday, but that it has no conclusive evidence that the faulty switches actually caused the crashes. Of course. Read more

Matt Lauer Says His Question To GM’s Mary Barra About Being A Mom & CEO Wasn’t Sexist

matt lauerMatt Lauer has faced quite a bit of backlash since he interviewed GM CEO Mary Barra yesterday. Ironic since she’s the one leading the company that’s had to recall millions of cars after years of bad business practices, injuries and deaths.

During the interview, Lauer asked, “Given the pressures of this job at General Motors, can you do both well?”

Barra’s response was fine: “You know, I think I can. I have a great team, we’re on the right path. … I have a wonderful family, a supportive husband and I’m pretty proud of the way my kids are supporting me in this.”

But the fact that it was even asked has upset many people who think the question was sexist. A ThinkProgress writer points out that Lauer himself has traveled the world for his job despite having three kids at home. When was the last time you recall a male executive being asked this question?

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Mary Barra Tells Matt Lauer: No Cover-Up at GM

Mary Barra sat down with Matt Lauer this morning on TODAY, and we think you’ll agree that the questions he lobbed her way were a bit softer than those she received from Congress earlier this month.

At the very least, she’s consistent with the message. That’s a good thing, because she’ll have to repeat it many more times before GM can move beyond this story.

What do we think of her appearance?

GM Hires Familiar Face as SVP of Global Communications

bildeIn what may be the week/month/year’s least surprising move, General Motors has finally replaced its SVP of global policy and communications with a familiar name and face.

Tony Cervone, who most recently served as VP of group communications for Volkswagen, doesn’t just have an extensive history doing PR for car companies–he worked at GM for 10 years along with current CEO Mary Barra, serving in a VP of global comms/strategy role before leaving for an SVP gig at United Airlines.

The strategy behind the appointment is fairly simple: Barra wants old allies to help her right her company’s badly managed response to its not-going-away faulty brake switch scandal.

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GM Needs a New Spokesperson, Stat

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Not going so well for her.

This young week has already brought us two new job openings that sound great on paper but might just make you think twice: social media manager at U.S. Airways and director of communications at General Motors.

You shouldn’t be surprised to learn that the first execs to get the axe in GM’s ongoing recall drama were the heads of PR and HR. In yet another non-surprise, the company refused to tie the departures directly to the recall. (This is the kind of decision that makes journalists roll their eyes back as far as humanly possible.)

CEO Mary Barra’s most visible statement this week? A blog post encouraging employees to report safety concerns “whether openly or anonymously.”

Cue that eye roll again…

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GM CEO on Recall Crisis: ‘Terrible Things Happened’

Here’s a case study in double duty internal/external crisis communications via General Motors and The New York Times.

This video was broadcast to employees, but it was clearly also meant to be a public statement; it’s been published on multiple news sites today.

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Recall Looks Like Big Trouble for GM

General-MotorsWe knew the story of faulty ignition switches, airbag failures and the subsequent recall of 1.6 million General Motors automobiles would make for terrible press. But the most recent revelation will almost certainly compound the problem: last night we learned from GM’s own reports that it knew of the issue approximately three years earlier than previously reported.

Of course, this finding will only help to fuel the “novel” lawsuits waiting to be filed.

GM has taken some crisis comms 101 steps to address the problem:

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GM Releases More CEO Pay Details to Counter Gender Discrimination Charge

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Today in This Had to Happen news, General Motors has responded to a flurry of stories reporting that its new CEO Mary Barra (the first woman to hold that position) would earn “48%” as much as the company’s previous chief by releasing more details of her compensation package two months early.

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GM Gets Bad Press over First Female CEO’s 48% Pay

gmThe fact that General Motors named Mary Barra as its first female CEO on January 15th was a big deal. President Obama even mentioned her in his State of the Union, calling her “the daughter of a factory worker [who] is CEO of America’s largest automaker” and inspiring a rare moment of bipartisan applause.

But according to Fox Business News, this “big deal” may not be quite as impressive as it seemed on announcement: after crunching the numbers, Elizabeth McDonald found that Barra’s $4.4. million compensation package would only amount to 48% of what former CEO Dan Akerson made in 2013 (note: these numbers include stocks and other “incentives” well beyond base salary).

That’s not all: GM retained Akerson as a “senior advisor” who will earn $4.68 million in 2014—so based on current numbers, the former CEO will still make more than the current CEO. This may well be the first time we’ve seen a Fox outlet criticize the White House for not going far enough with its gender inequality messaging.

It doesn’t look good for GM, but some major caveats apply.

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