GM Quietly Grants Employee Pricing to Recall Customers

General Motors is offering employee pricing to people who own a vehicle being recalled as part of its controversial ignition switch campaign, but there’s a catch.

The program isn’t being advertised, so you need to know to ask for it. GM spokesman Jim Cain told The Wall Street Journal that the company is offering it as a tool for its dealers to repair damaged customer relationships. Owners aren’t required to trade in their current vehicles and GM will also offer a $500 discount on certified pre-owned vehicles if a potential customer is adverse to buying a new vehicle.

Cain said the discount will be below the dealer invoice price for the vehicle and can apply to a new Cadillac, Buick, GMC or Chevrolet model from the 2013 or 2014 model year.

SEE ALSO: GM Shipping Replacement Switches to Dealers

Two weeks ago, General Motors said that replacement parts are starting to arrive at its dealer network for the roughly 2.6 million vehicles affected by the ignition switch and cylinder recall. That represents the first of two phases necessary to fix all the affected units and includes notifications sent to 1.4 million owners. The remaining 1.2 million notifications are supposed to be sent early this month notifying owners that they are affected by the recall. After that, they can expect to receive a second letter prompting them to visit a GM dealer for service.

Since the controversy began, GM has also offered to provide owners with loaner vehicles during the repair process. An eaelier offer also gave owners the option to take a $500 discount on the purchase of a new GM vehicle, although that deal expired on April 30.

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[Source: The Wall Street Journal]