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CBI suspends key activities after rape and sex assault allegations | CBI suspends key activities after rape and sex assault allegations |
(34 minutes later) | |
The CBI says it is suspending key activities until June after a number of firms quit the business group following allegations of rape and sexual assault. | The CBI says it is suspending key activities until June after a number of firms quit the business group following allegations of rape and sexual assault. |
Dozens of firms have announced that they are leaving the group or pausing their membership after new allegations about misconduct at the organisation. | Dozens of firms have announced that they are leaving the group or pausing their membership after new allegations about misconduct at the organisation. |
A second woman claimed she was raped by CBI colleagues in a Guardian article on Friday. | A second woman claimed she was raped by CBI colleagues in a Guardian article on Friday. |
The CBI said it "shares the shock and revulsion" at the alleged events. | The CBI said it "shares the shock and revulsion" at the alleged events. |
In a statement, the CBI board said: "We want to properly understand from our colleagues, members, experts and stakeholders how they envisage our future role and purpose. | In a statement, the CBI board said: "We want to properly understand from our colleagues, members, experts and stakeholders how they envisage our future role and purpose. |
"As a result, we have taken the difficult but necessary decision to suspend all policy and membership activity until an extraordinary general meeting in June. | "As a result, we have taken the difficult but necessary decision to suspend all policy and membership activity until an extraordinary general meeting in June. |
"At the EGM we will put forward proposals for a refocused CBI to our membership for them to decide on the future role and purpose of the organisation. | "At the EGM we will put forward proposals for a refocused CBI to our membership for them to decide on the future role and purpose of the organisation. |
"This work and the cultural reform will be the entire and urgent focus of the organisation over the coming weeks." | "This work and the cultural reform will be the entire and urgent focus of the organisation over the coming weeks." |
Despite membership operations being suspended until June, firms will still be free to quit if they choose, the BBC understands. | |
Firms leaving | |
On Friday, retailer John Lewis was among the high-profile firms to quit the membership organisation, which claims to represent 190,000 companies. | |
John Lewis said it made the decision to quit membership of the CBI "due to the further very serious and ongoing allegations". | |
Other firms that have quit include: BMW, Virgin Media O2, insurers Aviva, Zurich and Phoenix Group, banking firm Natwest, credit card company Mastercard; B&Q owner Kingfisher; media firm ITV; insurance marketplace Lloyds of London; investment firm Schroders; and auditor EY. | |
The Association of British Insurers has also left, as has Energy UK, which represents energy suppliers. | |
Companies that have suspended membership include: pharmaceutical giants GSK and AstraZeneca; airports operator Heathrow; retailers Tesco, Sainsbury's, Asda, and Marks & Spencer; banking group Santander; National Grid, Octopus Energy and Scottish Power; drinks giant Diageo; Rolls Royce; Unilever; BT; property company British Land; accountancy giant PwC; and Manpower Group. | |
Shell and BP are understood to have also paused membership of CBI. | |
The government had already announced that it was pausing its engagement with the business group. | |
Last week the British Insurance Brokers' Association said it had withdrawn its membership "in light of recent reports". | |
The CBI, which employs more than 300 people, has been in crisis since allegations of a rape at a CBI summer party in 2019 and other sexual misconduct at the organisation emerged earlier this month. | |
Three employees have been suspended pending the outcome of an investigation by law firm Fox Williams. | |
The group's director-general was dismissed over separate complaints. | |
Staff concerns | |
A source close to employees at the CBI said the crisis of the past few weeks had taken an "emotional toll" on staff. | |
"At first there was relief that people were talking about it," the source said. "It felt as though taking it public was holding management to account." | |
"But now, as darker allegations have come out, this has been hard on the staff." | |
The source said there had been "an avalanche" of members resigning and that staff are concerned about their jobs. | |
"They're worried about whether the business will still be here tomorrow," the source said. | |
A CBI spokesperson declined to comment on whether staff would be kept on as operations are paused. | |
Related Topics | Related Topics |
CBI | CBI |