The director-general of the Confederation of British Industry Tony Danker has been sacked following an independent investigation into complaints of workplace misconduct against him.
Three other CBI employees have also been suspended pending further investigation into a number of ongoing allegations.
“It is already clear to all of us that there have been serious failings in how we have acted as an organisation. We must do better, and we must be better,” a statement read.
“We apologise to the victims of this organisational failure, including those impacted by the revulsion we have all felt at hearing their stories. Nobody should feel unsafe in their workplace.”
The allegations made against those working at the CBI – which was founded by Royal charter in 1965 – were described as “devastating” in the statement.
The people who made allegations were praised and encouraged to keep speaking out.
“The board wishes to make clear [Mr Danker] is not the subject of any of the more recent allegations in The Guardian but has determined that his own conduct fell short of that expected of the director general,” the statement continued.
Following those recent allegations the main business lobby group for employers in the UK, at the heart of the British establishment, had cancelled all its external events last week as misconduct accusations mounted.
Government officials had also pulled out of meetings with the group and the big four accountancy firm EY had ended the secondment of one of its employees to the organisation.
Law firm Fox Williams had been hired to investigate the allegations made against Mr Danker. That investigation will move into “the next phase” of its inquiry, the CBI said.
“The CBI is liaising with the police and has made clear its intention to cooperate fully with any police investigations”, a statement read.
Mr Danker had stepped aside in early March as the allegations were investigated. Before working at the CBI he held positions in management consultancy firm McKinsey, The Guardian, and helped create the Labour government’s financial crisis economic rescue package in 2008.
In its work to represent 190,000 UK businesses, the CBI has lobbied for policies to encourage women into the workforce.
Rain Newton-Smith has been appointed the new director general to replace Mr Danker. Ms Newton-Smith is the former CBI chief economist and current managing director at Barclays for sustainability strategy and policy and ESG (Environmental, Social and Governance) Barclays.
A “root-and-branch review” of culture, governance and processes at the CBI will take place to review what needs to change and be improved at the organisation.
“We know it will take time for these steps to make a difference and rebuild trust,” the statement said.
“We will not hesitate to take any measures necessary in the meantime to act on further findings or complaints that arise from ongoing investigations.
“Our people, partners and members all need to feel proud of the CBI to ensure it is effective. We will now work tirelessly to ensure that under new leadership and with a commitment to build a modern, inclusive culture, the CBI can and will resume its vital work of supporting British business.”
