Tony Danker, the head of the CBI, one of the UK's leading business organisations, has been dismissed with immediate effect following an investigation into specific complaints of workplace misconduct against him.
He will be replaced by Rain Newton-Smith, a former CBI chief economist.
The CBI's board said in a statement: "The Board wishes to make clear he 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 CBI added that three other CBI employees are now suspended pending further investigation into a number of ongoing allegations.
Danker stepped aside as CBI chief in early March, after the Guardian approached the CBI about a formal complaint that was made in January.
Further allegations have since been made against other members of CBI management while a number of leading UK companies called for urgent action at the business lobbying group.