Executive at FTSE 100 firm quits over relationship with colleague

‘My actions have fallen short of the high standards expected of RS leadership’

A SENIOR executive at a FTSE 100 company has stepped down after admitting to a “personal relationship with a colleague”.

Industrial parts supplier RS Group said its finance chief was leaving after admitting “shortcomings of judgment”.

David Egan notified the board of the relationship and quit following a detailed review, the company said in a stock exchange filing. Details of who Mr Egan had a relationship with and for how long were not given.

The 55-year-old had been at RS for seven years and briefly served as interim chief executive after boss Lindsley Ruth resigned in December.

Mr Egan said: “Very recently I notified the board of a personal relationship with a colleague. Following a detailed review by the board, I recognise that there have been some shortcomings of judgment on my part and my actions have fallen short of the high standards expected of RS leadership.”

The resignation comes amid heightened scrutiny of corporate cultures, following a string of high-profile incidents involving executive behaviour.

Last month the chief executive of US media company Nbcuniversal quit after disclosing an “inappropriate relationship” with a female colleague.

Jeff Shell left following an investigation by outside lawyers and apologised that he “let my Comcast and Nbcuniversal colleagues down”.

In January, Steve Easterbrook, the former chief of Mcdonald’s, was fined by the US Securities and Exchange Commission after having a secret relationship with a senior female employee.

In a more serious case, the Confederation of British Industry has been forced to suspend activities and overhaul its management after accusations of rape and sexual harassment within the organisation.

Rona Fairhead, the RS Group chairman, said: “Following a thorough review, the board has accepted David’s resignation and in stepping down he recognises the importance of leaders setting and abiding by exemplary standards.”

Jane Titchener, RS Group’s vice-president of corporate development, will serve as the company’s finance chief until a permanent successor is found.

RS Group, which was formerly known as Electrocomponents, supplies electronic equipment to manufacturers and had sales of £2.5bn last year.