Britain’s beleaguered business organisation the CBI announced today that president Brian McBride had quit as it heads towards a make-or-break meeting of members.
McBride is stepping down as part of culture change said the business lobby group, which has been rocked by the sacking of director-general Tony Danker and a police investigation into unrelated allegations of rape and sexual harassment,
In a statement, McBride said that the CBI was making "significant and fundamental changes" to improve.
"We remain determined to restore the confidence of our members, and that of our many stakeholders, in the CBI," he added.
A stream of household name companies either resigned or suspended engagement from the group when the harassment allegations became public and the police started investigating the two rape cases and other alleged incidences.
Former CBI economist Rain Newton-Smith has taken over as director-general and in a letter to members ahead of the vote denied there was a "toxic culture" at the organisation.
“Blanket accusations of the CBI’s culture being toxic are not correct, but we have work to do to embed a consistent set of values for all of our staff,” she said.
Newton-Smith insisted the organisation was “well on the road to recovery”, but insiders have suggested it is facing financial problems due to the number of members, which pay around £100,000 a year, that have quit.
Lawyers have already been consulted about the options if the group has to file for insolvency due to funds running out.
The process to find a successor to McBride is already underway said the group, while Elizabeth Wallace has been appointed as interim chief people officer to implement recommendations by law firm Fox Wiliams, which carried out an independent review in the wake of the rape allegations.
Newton-Smith added that she believed the CBI remained a strong voice for business.