West­ing­house seeks court OK to re­ject for­mer CEO’s em­ploy­ment con­tract

Pittsburgh Post-Gazette - - Business - By Anya Lit­vak Anya Lit­vak: al­it­vak@post-gazette.com or 412-263-1455.

West­ing­house Elec­tric Co. is ask­ing the bankruptcy court for per­mis­sion to sever ties with its for­mer CEO Danny Rod­er­ick by re­ject­ing his em­ploy­ment con­tract.

Mr. Rod­er­ick, who ad­vanced to a po­si­tion with West­ing­house’s par­ent com­pany, Toshiba Corp., in June 2016, had the pos­si­bil­ity of re­turn­ing to the Cran­berry-based nu­clear firm af­ter the Ja­panese en­gage­ment. But there al­ready is a pres­i­dent and CEO at West­ing­house — Jose Eme­te­rio Gu­tier­rez — and Mr. Rod­er­ick, since be­fore the March bankruptcy, “has not and will not pro­vide ser­vices” to West­ing­house, ac­cord­ing to the com­pany’s fil­ing. It also said it doesn’t want to be on the hook for his 10-year em­ploy­ment con­tract that runs through 2022.

This wouldn’t be a sur­prise for Mr. Rod­er­ick, who al­ready had filed a claim against West­ing­house for $24 mil­lion an­tic­i­pat­ing that the com­pany would move to re­ject his con­tract.

As ev­i­dence of his claim, Mr. Rod­er­ick at­tached a mostly redacted copy of his con­tract with the only leg­i­ble parts hav­ing to do with “ter­mi­na­tion with­out cause.”

West­ing­house on Thurs­day sent its em­ploy­ees an email an­nounc­ing that it has filed to re­ject Mr. Rod­er­ick’s con­tract af­ter Mr. Gu­tier­rez was asked at a re­cent all-staff meet­ing about the for­mer CEO’s sta­tus.

Mr. Rod­er­ick, who was re­moved from West­ing­house’s board of di­rec­tors shortly be­fore the com­pany filed for bankruptcy in March, did come back to the Cran­berry head­quar­ters briefly af­ter that to “con­cen­trate on re­solv­ing is­sues” at West­ing­house, Toshiba said at the time.

He is no longer in Pitts­burgh.

Danny Rod­er­ick

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