Gov. Haslam worries VW problems could cost jobs in Chattanooga
Tennessee Governor Bill Haslam believes Volkswagen has "major issues to deal with" in light of a massive scandal.
Volkswagen admitted to using a piece of engine software to cheat on diesel car emissions tests. The company said up to 11 million vehicles worldwide were fitted with the engine in questions including those made in Chattanooga.
Governor Haslam spoke about his concerns the scandal could have on the Scenic City and the state during his visit to the Jewish Cultural Center in Chattanooga on Thursday.
"If they're not selling cars, it's hard for them to employ people," Haslam said.
With more than 3,000 people employed at Chattanooga's VW plant and three times as many people employed by suppliers, Haslam worries the impact could reach beyond Volkswagen.
"Not just in Chattanooga, but in this part of Tennessee and so if their business is off and they're not making Passat's and SUV's, then seating companies and brake companies and a lot of other suppliers are impacted as well," he added.
VW said Thursday it will take "at least several months" to complete investigations and already set aside more than $7 billion to help cover the cost of the scandal but Haslam worries the toll could come at a much bigger cost.
"I'm urging them to address this and do everything they can to deal with it and then get back in the business of making cars and SUV's," Haslam said.
The president and chief executive of Volkswagen Group of America will testify before a Congressional oversight panel about the scandal on October 8th.