Another Explosive Airbag Recall Could Impact 52 Million Cars

Good morning! It’s Friday, October 6, 2023, and this is The Morning Shift, your daily roundup of the top automotive headlines from around the world, in one place. Here are the important stories you need to know.

1st Gear: U.S. Calls For ARC Airbag inflator Recall

While we might just have gotten to the bottom of the Takata airbag inflator recall after millions of vehicles from 34 different brands were affected, a new airbag issue could be about to rear its head. Now, the National Highway Traffic Safety Administration is pursuing a recall of 52 million vehicles fitted with ARC airbag inflators, which could explode in the event of a collision.

According to a report from The Wall Street Journal, regulators met this week to discuss the potential recall of ARC airbag inflators. The affected parts have been known to explode “with too much force during a vehicle crash,” which sends pieces of metal shrapnel flying into the face of the car’s occupants. So far, the WSJ reports that at least two people have been killed in cars fitted with these inflators. The site reports:

On Thursday, NHTSA held a public meeting on its determination that the air-bag parts are defective and should be recalled. In April, the regulatory agency sent a letter to ARC, demanding it recall the inflators, which are essentially mini-exploding devices designed to rapidly inflate the air-bag cushion in a collision.

ARC has refused the regulatory request, resulting in NHTSA having to take the unusual step of scheduling a hearing, which is necessary if it wants to formally order a recall.

So far, the NHTSA has not announced exactly which automakers are impacted or how many cars could be recalled. However, the WSJ reports that GM could be on the list with “at least 20 million vehicles” being built with ARC airbag inflators at its factories.

According to the site, other automakers that could be affected if a recall is called could include Ford, Volkswagen, Toyota, and Hyundai.

2nd Gear: Tesla Defends FSD Naming

American electric vehicle maker Tesla is currently on trial in California for its role in a fatal crash that involved one of its cars running Full Self-Driving (FSD). But despite the driver assistance tech’s lofty tidal, it can’t actually drive a Tesla by itself and you should always stay in control of your car when it’s engaged. But Tesla isn’t ready to admit that and has rejected claims that people might be confused about the car’s abilities because of the FSD name.

According to a report from Reuters, engineers from the EV maker have been testifying in court this week about the capabilities of the FSD software. And while engineers have admitted there are “latent defects” with the system, they reject any claims that Tesla came up with the FSD moniker so people would believe its systems “had more abilities than was really the case.” Reuters reports:

During his testimony, [Tesla engineer Eloy Rubio Blanco] rejected a suggestion from Lee’s attorney that the company chose the name “Full Self-Driving” because it hoped the public would think its vehicles had more features.

“Do I think our drivers think that our vehicles are autonomous? No,” Rubio said, according to a trial transcript seen by Reuters.

The trial relates to a 2019 crash involving a Tesla Model 3 that was being driven by Micah Lee. In the collision, the car’s Autopilot software was engaged when the car veered off a highway in LA, struck a palm tree, and burst into flames, killing Lee and injuring two passengers.

3rd Gear: UAW Strike Hasn’t Hit Inventories Just yet

It’s now been three weeks since members of the United Auto Workers union first walked off the job after they were unable to agree terms of a new contract with Ford, General Motors, and Stellantis. In the weeks since, they have gradually expanded the walkout to affect factories building cars like the Ford Ranger, Jeep Gladiator, and GMC Canyon.

But despite the strike affecting some of America’s Big Three’s most popular cars, a new report from Automotive News found that inventory for the companies hasn’t yet “crimped” the three Automakers. The site reports:

The 3-week-old UAW strike against the Detroit 3 so far has not significantly dented the automakers’ U.S. inventory levels, though General Motors dealerships are the most at risk of running low, according to a new analysis.

Stellantis, by contrast, has the most inventory among the Detroit 3, Cox said, meaning it could be better positioned to withstand prolonged production stoppages.

An update on the bargaining process between the UAW and the three automakers is expected today. However, with Ford claiming to have 67 days’ worth of inventory, GM adding that its U.S. inventory is “at its highest point since late 2020” and Stellantis rumored to have “more than a 100-day supply,” the companies could be bedding in for a long strike.

4th Gear: SpaceX Employee Sues Over Pay Discrimination

Elon Musk-backed space company SpaceX is facing yet another legal challenge this week as a female engineer has accused the company of pay discrimination. In the case filed in Los Angeles Superior Court, the employee claims that she was hired on a starting salary that was $23,000 less than her male coworkers.

The case was first brought to our attention by Forbes, which explained that Ashley Foltz was hired to work at SpaceX as a base-level engineer with a starting salary of $92,000. However, Foltz claims in her case that the company offered men “with the same or less experience” a salary of up to $115,000 for the same position. Forbes reports:

The lawsuit adds that Musk and company executives have “no legitimate justification for their discriminatory pay practices,” arguing that Foltz, who describes herself as one of the few female engineers at SpaceX, has been paid less than male engineers for completing the same or similar tasks throughout her time with the company.

SpaceX has so far not commented on the case, which follows similar discrimination cases against the company based on age, sex, and race.

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