Exclusive: GM’s Cruise CEO Apologizes and Announces Share Sales Opportunity

Cruise’s CEO apologizes for accident, pledges to improve safety and compensation

In a move aimed at restoring public trust, Kyle Vogt, CEO of Cruise, General Motor’s self-driving vehicle unit, issued an apology to staff following an accident that led to the company’s temporary suspension of its autonomous vehicle operations.

Vogt addressed employees in an email stating, “I am sorry we have veered off course under my leadership and that this has affected many Cruisers in a deeply personal way. As CEO, I take responsibility for the situation Cruise is in today. There are no excuses, and there is no sugar coating what has happened. We need to double down on safety, transparency, and community engagement.”

The email, reviewed by Reuters, revealed Vogt’s acknowledgement of the need to improve the company’s relations with regulators, the press, and the public. He further announced a plan to conduct a new tender offer for employees, rescinding a prior decision to halt the purchase of shares during the current quarter.

This reversal came in response to workers’ concerns over potential tax obligations associated with vested shares. Cruise had initially canceled its buyback program to lower costs following its pause in operations.

The company also faced backlash from some employees for failing to disclose video footage of a recent accident.

Vogt’s apology and commitment to reconstruct the firm’s structure emphasize the importance of revamping Cruise’s internal policies to ensure that worker welfare and public safety take priority. The assurance of a new tender offer aims to alleviate potential tax burdens while reinforcing Cruise’s dedication to integrity and accountability.

Despite concerns over the company’s decision-making, industry analysts are optimistic about her promise and the potential for Cruise, as an autonomous vehicle leader, to reestablish its reputation.

This ongoing saga reflects the challenges that innovative technologies and their creators must navigate in the pursuit of sustainable development and public trust. By acknowledging the missteps and reevaluating their approach to safety and employee rights, Cruise is setting a valuable precedent for other companies in the evolving autonomous vehicle sector.

By Greg Bensinger, with additional reporting by David Shepardson; Editing by Cynthia Osterman and Tom Hogue.

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