Getty Images
NOS News•
US fitness company Peloton has been fined $19 million for reporting too late that a treadmill could be dangerous to users. The company received reports of accidents in December 2018, but the devices were not recalled until May 2021.
In total, the company received more than 150 reports, including 13 reports of accidents where athletes suffered burns or broken bones from being shot under the device. It was only when a six-year-old child died in this way that the company took action.
At the time, Peloton already admitted that it had been wrong not to recall the 125,000 devices sooner. In addition to the fine, the company has agreed with the US consumer safety watchdog that it will report on compliance for five years.
In corona times, Peloton made a lot of profit because people started exercising at home due to lockdowns. However, the recall damaged the company’s reputation, and reopening the gyms also caused the company to lose many customers. Last year, Peloton had to lay off thousands of employees because of this.
