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You can find the current article at its original source at https://www.theguardian.com/business/2018/dec/03/ted-baker-share-price-falls-after-forced-hugging-allegations
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| Ted Baker share price falls after 'forced hugging' allegations | Ted Baker share price falls after 'forced hugging' allegations |
| (about 3 hours later) | |
| Ted Baker’s share price fell sharply on Monday as the company set up a committee of directors to consider the findings of an investigation into staff complaints about the behaviour of its founder, Ray Kelvin. | Ted Baker’s share price fell sharply on Monday as the company set up a committee of directors to consider the findings of an investigation into staff complaints about the behaviour of its founder, Ray Kelvin. |
| Shares in Ted Baker sank nearly 13% in early trading on Monday after more than 60 current or former staff came forward to the employee campaigning platform Organise with complaints about Kelvin’s alleged behaviour, including kissing ears and giving unwanted hugs and shoulder massages, as the Observer reported at the weekend. | Shares in Ted Baker sank nearly 13% in early trading on Monday after more than 60 current or former staff came forward to the employee campaigning platform Organise with complaints about Kelvin’s alleged behaviour, including kissing ears and giving unwanted hugs and shoulder massages, as the Observer reported at the weekend. |
| A petition hosted by Organise had gained more than 2,500 signatures on Monday. The number of signatures from former and current staff is understood to have risen from 200 to 300 since Friday. | A petition hosted by Organise had gained more than 2,500 signatures on Monday. The number of signatures from former and current staff is understood to have risen from 200 to 300 since Friday. |
| Ted Baker said on Monday that it has has set up an independent committee of non-executive directors to consider the findings of an independent investigation into staff complaints of “forced hugs” and alleged harassment by Kelvin. | Ted Baker said on Monday that it has has set up an independent committee of non-executive directors to consider the findings of an independent investigation into staff complaints of “forced hugs” and alleged harassment by Kelvin. |
| On Monday the company said: “Ray, and the company’s leadership, have always prided themselves on Ted Baker being a great employer and business to work with. Accordingly, they and the board take these concerns very seriously and the board has directed a thorough and urgent independent external investigation is carried out into these matters. | On Monday the company said: “Ray, and the company’s leadership, have always prided themselves on Ted Baker being a great employer and business to work with. Accordingly, they and the board take these concerns very seriously and the board has directed a thorough and urgent independent external investigation is carried out into these matters. |
| It said an independent committee of the non-executive directors had been appointed to ensure that the “views and concerns” that emerged from the investigation were “recognised and carefully considered and that appropriate responses are taken forward”. | It said an independent committee of the non-executive directors had been appointed to ensure that the “views and concerns” that emerged from the investigation were “recognised and carefully considered and that appropriate responses are taken forward”. |
| One former junior employee, who left the company earlier this year, said they had been hugged by Kelvin several times and also had their shoulders massaged by the fashion boss in front of a group of visitors to head office. | One former junior employee, who left the company earlier this year, said they had been hugged by Kelvin several times and also had their shoulders massaged by the fashion boss in front of a group of visitors to head office. |
| They told the Guardian: “Everyone has a hug [from Kelvin] it is completely the norm. When you haven’t met Ray that sounds fine. But when you are a young man or girl and a mid-50s physically imposing guy points at you and tells everyone you are going to get a hug, that’s really embarrassing. | They told the Guardian: “Everyone has a hug [from Kelvin] it is completely the norm. When you haven’t met Ray that sounds fine. But when you are a young man or girl and a mid-50s physically imposing guy points at you and tells everyone you are going to get a hug, that’s really embarrassing. |
| “It was never a hug like you or I would do with mates for one or two seconds. It was always noticeably too long.” | “It was never a hug like you or I would do with mates for one or two seconds. It was always noticeably too long.” |
| The former employee said that you were just “not allowed to” pull away: “He holds you in, he’s a big guy and it was my first job. I didn’t know where to fight my battles.” | The former employee said that you were just “not allowed to” pull away: “He holds you in, he’s a big guy and it was my first job. I didn’t know where to fight my battles.” |
| The company is expected to put out a disappointing trading statement on Thursday. | The company is expected to put out a disappointing trading statement on Thursday. |
| However, more than one City analyst told the Guardian that the share price fall was connected to the weekend’s reports about Kelvin rather than any trading fears. | However, more than one City analyst told the Guardian that the share price fall was connected to the weekend’s reports about Kelvin rather than any trading fears. |
| The company told the Observer that it was “in dialogue” with Organise in order to “understand the details and nature of the claims”. | The company told the Observer that it was “in dialogue” with Organise in order to “understand the details and nature of the claims”. |
| It added: “Ray greets many people he meets with a hug – be it a shareholder, investor, supplier, partner, customer or colleague. Hugs have become part of Ted Baker’s culture, but are absolutely not insisted upon.” | It added: “Ray greets many people he meets with a hug – be it a shareholder, investor, supplier, partner, customer or colleague. Hugs have become part of Ted Baker’s culture, but are absolutely not insisted upon.” |
| Kelvin declined to comment. | Kelvin declined to comment. |
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