CBI to suspend operations until June after exodus of top UK businesses

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The Confederation of British Industry has announced it is to mothball its operations until June after the Guardian’s revelations about alleged sexual misconduct by male employees at the lobbying group led to an exodus of businesses including John Lewis and NatWest.

The CBI’s board said it was suspending all membership and policy activity until an extraordinary meeting in June, when members will vote on its future and purpose.

The Guardian has published a series of accounts of more than a dozen women who claimed they were the victims of sexual misconduct by men at the CBI, including two women who said they were raped by colleagues.

After the latest revelations on Friday, in which a woman said she was raped by two male colleagues who worked with her at an overseas office of the CBI, more than 50 of Britain’s biggest businesses quit or suspended engagement with the group.

Among the other prominent companies to cut ties with the CBI are Virgin Media O2, BMW, Jaguar Land Rover, Sage, Accenture, Tesco, Aviva, Fidelity International, Arup, Kingfisher, and Phoenix Group.

Details of the latest rape allegation were passed to police by the CBI. Last week, the City of London police began investigating a series of misconduct allegations made by over a dozen women towards CBI managers.

The Guardian revealed a pattern of alleged inappropriate behaviour from male employees towards their female colleagues. One woman said she was raped by a manager on a 2018 summer boat party on the River Thames.

That same year, another woman based at the CBI’s London office complained she was being stalked by a male colleague in person and online. While the CBI held a finding of harassment, sources claim the woman was actively discouraged from making a police report and the alleged perpetrator kept his job.

Earlier this month, the government suspended its relationship with the CBI over the previous allegations.

The CBI, which claimed to represent 190,000 businesses prior to the exodus, was founded by royal charter in 1965. Its effective mothballing means an uncertain future for its workforce of more than 300 staff.

The board said in a statement that “much needs to change” for it to win back the trust of businesses.

It said: “The CBI shares the shock and revulsion at the events that have taken place in our organisation, and at past failures that allowed these events to happen. We are deeply sorry and express our profound regret to the women who have endured these horrific experiences.

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“We have listened carefully to what our colleagues, members and stakeholders have said over recent days and weeks. We have heard loud and clear a demand for far-reaching change.”

It plans to spend the next two months before the meeting speaking to staff, businesses, experts and others about its future role.

“This work and the cultural reform will be the entire and urgent focus of the organisation over the coming weeks,” it said.

“We are taking steps to address our failings but recognise these are not yet sufficient to sustain the confidence of our colleagues, members and of the broader business community,” the company continued.

“We know it will take time to rebuild trust in our purpose and culture. And to give our team and former colleagues the space to heal.”