The Confederation of British Industry’s new boss said it’s not the only organization struggling with claims of misconduct, as the lobby group battles for survival following allegations of sexual assault among its staff.
(Bloomberg) — The Confederation of British Industry’s new boss said it’s not the only organization struggling with claims of misconduct, as the lobby group battles for survival following allegations of sexual assault among its staff.
Rain Newton-Smith returned to the CBI last month to replace Tony Danker, who was fired as director general after being accused of inappropriate behavior toward colleagues. Dozens of large companies have quit the group amid separate claims — not involving Danker — of sexual assault including two allegations of rape.
“We are not alone in facing issues around workplace misconduct,” Newton-Smith said Thursday during an interview with Bloomberg Television. She said stories of women being assaulted at CBI events were “horrifying” but insisted the CBI could reform its workplace culture and recover from the crisis.
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“We are facing financial pressures but if we can earn back trust and if we can show that we have a really important program of change, then I firmly believe that members will come back,” she added.
The CBI appointed a former City headhunter this week to be its chief people officer. Elizabeth Wallace, who spent four years in executive search at BlackRock Inc. in London, said Tuesday she would “lead the way on cultural transformation” in her new role at the CBI.
The lobby group will hold an extraordinary general meeting next month in an attempt to convince members to renew their subscriptions, on which it depends. Membership fees reached £22 million ($27 million) before the scandal.
Newton-Smith said during the interview that the financial strain on the CBI had given it “empathy and understanding” for businesses in the UK that are struggling with inflation.
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