Volkswagen America CEO Michael Horn Resigns

MANILA: The adverse effect of Volkswagen scandal has still left its traces on the company's image in some or the other manner. This can be stated owing to the fact that the company's high level employees are continuously leaving the firm. Now, CEO of Volkswagen America, Michael Horn, has stepped down from his position. Mr. Horn had stood on this post for a period of 2 years. He also held the responsibility for this company from the year 2014, and in totality, had played a significant role in the German automotive industry from the past 25 years. It is confirmed that this step has been taken after having a mutual agreement with his employer. In addition, the reason for his departure is perceived to be owing to VW's negotiation with U.S. environmental regulators, Department of Justice and lastly the consumers who had filed suits against the company for the purpose of seeking compensation. The quiting decision is informed to be immediate, and the vacant position will be filled by company's U.S. Executive, Mr. Hinrich Woebcken (On Interim basis).

The infamous incident was termed as the VW dieselgate scandal, which devastated the brand's image across the globe. In addition to this, recently there were some promotional deals and model line-ups (Volkswagen Up,etc) introduced in order to retain consumer interest in the brand. However, it seemed to be a temporary medicine to heal this deep rooted bruise.

The company is still entangled in this major issue, and a huge pile of cases are still waiting for justice. It is perceived that VW has faced a fiscal damage of 20 billion dollars as a part of fines issued by the state and federal regulators. Unfortunately, this scandal has also been captured in the periphery of a criminal investigation that is anticipated to be conducted by the U.S. Justice Department soon. In terms of figures, there were globally 11 million cars affected by the software and car emission tests fraud.

In the end, we hope that the Volkswagen Group snaps out from this situation soon, and faces some sight of relief with the entry of the new CEO at this dreadful point of time.

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