Some of the 2,500+ staff who were recently laid off decided to expose the latest scam, which they have described as a nationwide effort to avoid another costly recall just months after the death of a child due to the design of a Peloton treadmill, which was eventually recalled much to the objections of Peloton management. The year before, the company issued a recall on 27,000 clip-in pedals, following reports of injury while cycling. It’s also been revealed that months before the first sighting of rust, Peloton had been pressured by the CPSC to recall 125,000 Tread+ products, each costing $5,900. One staffer sent the FT a photograph last week, suggesting rusted bikes were still arriving at one regional warehouse in the US. Two warehouse workers who handled bikes late last year claimed that many with “severe” rust were delivered to customers. The cause was a build-up of rust on “non-visible parts” of the bike - the inner frame of the seat and handlebars.ĭesperate for stock during COVID 10 lockdowns, it is said, instead of returning the bikes to the manufacturer, executives hatched a plan to conceal the corrosion and sent the machines to customers who had paid between thousands to purchase them.įour months before the first sighting of rust, Peloton had been pressured by the CPSC to recall 125,000 Tread+ products, each costing $4,300. The FT claims that in September last year, staff at Peloton warehouses, which receive high-end bikes, originally manufactured in Taiwan, noticed that paint was flaking off some of the exercise machines.
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