Cruise Faces Crisis: Fleet Recall and Layoffs Amid Safety Concerns

Following a fatal accident, Cruise's autonomous vehicles are banned in California, triggering a nationwide halt of operations and job cuts, as the company faces financial losses and scrutiny over safety.

Cruise, a subsidiary of General Motors, has recalled its entire fleet of autonomous vehicles following a fatal accident in California. The incident has sparked nationwide scrutiny over the safety of driverless cars, leading to a halt in operations and job cuts.
The fatal accident involved a pedestrian being dragged 20 feet under a Cruise vehicle. This has led to increased scrutiny over the decision to allow Cruise and its rival Waymo to operate their robotaxi services in San Francisco 24/7.
Cruise has begun laying off staff, affecting contract workers involved in cleaning vehicles, fleet charging, and customer support. The company has not revealed the number of staff affected by the layoffs.
Cruise's operations have been further hampered by financial losses, with the company reporting a loss of $723 million in the third quarter. The company's permit to operate driverless vehicles has also been suspended by the California Department of Motor Vehicles.
Investigations into Cruise's safety protocols have revealed that the company's software had trouble correctly identifying children. This revelation has added to the growing concerns over the safety of autonomous vehicles.