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Suzuki CEO, Osamu Suzuki to resign over false mileage test issue

Osamu Suzuki
 

The company also announced executive pay cuts and reduction in 2015 bonuses.

In what could be described as a damage mitigation after the falsified mileage test scandal, Osamu Suzuki, CEO of Suzuki Motor Corporation, is reported to step down, taking responsibility for the R&D department’s actions.

The Japanese small car specialist has admitted last month that it had been using wrong test methods to calculate mileage for models dating back to 2010.

Baleno Japan Launch

India-made Baleno, launched in March 2016, is the first car to be made in India and exported to Japan.

Mitsubishi Motor Corp. was the first automaker to come to spotlight in this ever-widening scandal. Both automakers are facing the repercussions now.

Osamu Suzuki has been leading the company for the last 40 odd years and has admitted, in a recent interview, that over the last few years, it had become increasingly difficult to personally oversee each and every function of the organization. He said this could have contributed to the latest incident.

Suzuki Swift Sai Edition at 2016 Bangkok Motor Show

Mr. Suzuki will continue to be the chairman of SMC with a narrower role.

The industry veteran will continue to be the firm’s Chairman but he will be playing a much narrower role. The automaker used indoor tests for its models’ individual parts instead of testing the vehicles on an outdoor course. Suzuki’s excuse is that its outdoor facility is located in a windy environment which could lead to erratic test results.

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In addition to Mr. Suzuki’s stepping down, SMC has also announced cuts in executive pays and bonuses for 2015.

List of cars affected

Alto – Launched on 22nd December, 2014
Alto Lapin – Launched on 3rd June, 2015
Wagon R – Launched on 19th September, 2012
Hustler – Launched on 8th January, 2014
Spacia – Launched on 15th March, 2013
Every – Launched on 18th February, 2015
Carry – Launched on 20th September, 2013
Jimny – Running change in 2010

Solio – Launched on 26th August, 2015
Ignis – Launched on 18th February, 2016
Baleno – Launched on 9th March, 2016
SX4 S-CROSS – Launched on 19th February, 2015
Swift – Launched on 18th September, 2010
Escudo 2.4 – Running change in 2012
Escudo – Launched on 15th October, 2015
Jimny Sierra – Running change in 2010

Note – The above issues do not apply to products sold under Suzuki badge outside Japan. Maruti Suzuki India has revealed that the cars sold in India are not affected.

Next generation Maruti Swift – Renderings

Via – Reuters.com

 

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