Takata Corporation recently announced that their president, Steafan Stocker, will be stepping down from his position in order for the company to consolidate its response to the growing problem of their defective airbags. Replacing Stocker will be the company’s chairman, Shigehisa Takada, grandson of the company founder who will also retain his position as chairman.

Besides the changing of the ranks, Takata also stated that the company will take a 50% pay cut for four months due to global defects. Stocker, along with three other senior staff members will also have a 50% pay cut for four months. The company also decided in late November not to declare an interim dividend.

Over 24 million cars have already been recalled worldwide since 2008, with 7.8 million cars affected in the USA as of October 2014. Back in April 2013, Honda Cars Philippines Inc. issued a recall that affected select 2001-2002 Honda Civics and CR-Vs. The cars that were recalled were part of Honda Motor Company's global recall which numbered to 1.14 million units.

On that same month, Toyota, Mazda and Nissan also issued their own global recalls which amounted to 3.4 million units combined. On May 2013, BMW also stated a global recall on their automobiles which affected select 2002-2003 BMW 3-Series models, including select M3 Coupe and Convertible models.

So far, there have been at least 5 deaths caused by the faulty airbag.

Stocker will remain with the company as a board member.

Source: Reuters