CBI in rallying cry to members as it fights for survival in the wake of a damaging sex scandal
CBI calls out to members as it fights to survive in the wake of a damaging sex scandal
The CBI boss will today issue a rallying cry for members as it fights to survive in the wake of a damaging sex scandal.
At a pivotal meeting at its London headquarters, Rain Newton-Smith will ask members of the corporate organization if they have confidence in the group following post-crisis reforms.
If they fail to win them over, the CBI’s prospects will look bleak as rival organizations such as the UK’s Chambers of Commerce (BCC).
Newton-Smith will say, ‘I am convinced and determined that this will be a turning point for us. The beginning of a new chapter, for a renewed CBI.
It is so important to me, and to those who have raised their voices, to put our people, our culture and our values front and center.
Plea: CBI boss Rain Newton-Smith (pictured) will ask members of the embattled corporate organization if they trust the group after a damaging sex scandal
“This is a difficult but important journey. We’ve made great strides forward, but it will take real commitment. I am determined to lead that change and bring the CBI back to health.”
Founded in 1965, the CBI faces an existential crisis after dozens of major corporate members — including Aviva, John Lewis and NatWest — deserted after allegations ranging from sexual harassment to rape.
Chancellor Jeremy Hunt has said there is ‘no point’ in talking to the organization if companies leave en masse.
Last week, the lobbying group announced plans for change, including a boardroom eviction and the departure of its president Brian McBride.
The plans were initially met with lukewarm reception, although a number of companies led by tech giant Microsoft and industrial conglomerate Siemens have now rallied behind them.
The CBI says it could again be a strong voice advocating doing business with ministers.
However, the BCC is positioning itself to step into the breach if it doesn’t follow through – and yesterday announced a new business council comprising BP, Heathrow, energy company Drax and hotel group IHG.
In a dig at the CBI, London Chamber of Commerce and Industry boss Richard Burge welcomed the BCC plans, adding: ‘For too long companies have been constrained by a form of policy monoculture, where one umbrella organization controls government involvement. about the most important issues facing companies.
No two companies are the same – each has its own experience, mindset, needs and contribution.
“It is therefore imperative that our diverse business community is represented by a collection of flexible and collaborative bodies, with a local knowledge of regions across the UK, who can advocate solutions to the most pressing issues facing our businesses.”
But Newton-Smith will insist in her speech that the CBI is still best placed for its role – and will weed out rivals.
“I’ve seen what we can achieve and how powerful we can be in driving change. Even our competitor groups have admitted that they can’t match all of that.
“We are ready to deliver a better CBI. We only need one thing now: your vote.’