CBI says there is 'serious work to be done' as it publishes turnaround plan

The Confederation of British Industry (CBI) has published the turnaround plan it hopes can secure the future of the organisation which has been racked by allegations of sexual misconduct.

The trade body will ask its members next week to vote on the plan, which includes a promise for a “renewed CBI”. The CBI said it plans to speed up the hunt for a successor to its president and promised a “refreshed board” but rejected allegations the organisation’s culture is toxic.

“Blanket descriptions 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,” said new director general Rain Newton-Smith.

Hide Ad
Hide Ad

The CBI said there is “serious work to be done” as it set out its plans to set up the lobby organisation for the future. Members will be asked on June 6 if they support the organisation following the changes, which have been proposed after speaking to more than 1,000 business leaders across the country.

Library image of the CBI annual conference, which was held at  the Vox Conference Centre in Birmingham in 2022. Picture:PALibrary image of the CBI annual conference, which was held at  the Vox Conference Centre in Birmingham in 2022. Picture:PA
Library image of the CBI annual conference, which was held at the Vox Conference Centre in Birmingham in 2022. Picture:PA

They will be asked to vote on the question: “Do the changes we have made − and the commitments we have set out − to reform our governance, culture, and purpose give you the confidence you need to support the CBI?”

The CBI said a report by independent experts at Principia found its culture had “under-prioritised people management skills”.

Principia added: “While we do not find that blanket descriptions such as ‘toxic’ or ‘misogynistic’ are accurate or useful descriptions of CBI culture, attitudes towards culture are inconsistent, with a lack of awareness of different experiences and limited self-reflection.”

Hide Ad
Hide Ad

Ms Newton-Smith added: “Our members and colleagues have spoken. We have listened, we have acted and we are taking accountability. An accelerated programme of change on people, governance and culture is already underway with a more focused, collaborative approach on our purpose lifting up the voices of our members.

“Our society faces serious challenges from a cost-of-living crisis to climate change with an urgent need to create truly sustainable growth across regions and nations of the UK, as well as on the global stage. We need a strong voice of business, backed by a depth of economic analysis and insights from across the whole economy and entire country. A renewed CBI can once again have a voice on the serious economic challenges the UK faces, with a General Election approaching at pace."

The CBI asked Fox Williams, the independent law firm, to investigate

the specific allegations made as well as any broader learnings for the CBI. Fox Williams has made 34 recommendations to the CBI, which the board has has accepted in full.

Hide Ad
Hide Ad

The programme of change includes the planned creation of a new People and Culture sub-committee of the CBI board and the establishment of an external expert Culture Advisory Committee.

The CBI President, Brian McBride, will immediately start the search for his successor while he oversees the changes being implemented at the CBI.

The handover will begin no earlier than January 1 2024, the CBI said in a statement.