Toyota: Paying for It

Toyota is not only ready to pay $16.4 million to the U.S. Transportation Department because they kept their faulty accelerator pedal problem a secret for about three months, but the automobile manufacturer is also halting sales of its Lexus GX 460 around the world because it has been labeled as a roll-over safety risk.

Toyota is going to receive a fine of $16.4 million and will not resist it, according to major news sources. The fine will not affect the lawsuits Toyota is facing from individuals who have been personally affected by the defective accelerators, but will focus on the fact that Toyota took over three months to admit the problem and make it public. According to The New York Times, this is the maximum fine amount allowed; law states that automobile manufacturers must begin a recall within five days of discovering a defect in a vehicle that is on the market.

Adding to the pressure is a Lexus recall of their GX 460 model. According to Consumer Reports, the vehicle has a high risk of skidding sideways and possibly creating a rollover accident. There haven’t been any reports of rollovers yet, but it has only been on the market for three months.

Once again, the lackadaisical approach to automobile safety created by the need for fast production and profits is Toyota’s most embarrassing mistake. Hopefully, the Lexus recall will go more smoothly than Toyota’s recent and ongoing attempt with the accelerator issue.

One of the most powerful ways to affect a company like Toyota is through their bank account. Forced to pay fines and deal with numerous lawsuits, Toyota is going to feel their mistakes in a serious financial way. When all is said and done, hopefully Toyota will give more attention to safety and successful construction, even if they’re just trying to keep their money safe.