CBI wins backing from members
ONE of the UK’s most influential trade bodies will hope to turn the page as it gained the backing of more than nine in 10 members at a crunch vote yesterday.
The Confederation of British Industry (CBI) said that 93% of the 371 votes cast during a confidence motion had backed a plan intended to help it regain its position as a lobbying powerhouse.
The CBI – which claims to represent around 190,000 businesses – was cast into turmoil in March after allegations of misconduct relating to its then-director general.
Since then, more than a dozen women have come forward with allegations that they were sexually harassed while working for the CBI. Two of them said they were raped.
After dozens of its most highprofile members left the CBI, it promised to regroup, set out a new plan and allow the remaining members to vote on it.
Yesterday, members were asked to say whether the group’s plan for renewal was enough to give them “the confidence you need to support the CBI”.
It said that 371 members had voted, and 23 had either abstained or withheld their votes. Most of the 190,000 businesses that the CBI claims to represent are indirectly linked to it through other trade groups.
A raft of major companies have already quit the CBI due to the allegations – including John Lewis, Aviva and ITV – and are not taking part in the vote, while the Government has also suspended its engagement with the group.
Director-general Rain NewtonSmith said: “After an incredibly tough period, I’m deeply grateful for the faith shown in us by our members. We’ve made real progress in implementing the top-tobottom programme of change promised by the board and, while there remains work to do, today’s result represents an important milestone on that journey.
“Even an organisation as established as the CBI is only as strong as its members.
“That support is something we have never taken for granted. We will work tirelessly to repay the faith shown in us and are committed to living the values and changes we have proposed. Let me be clear: we have listened, we have acted, and we will leave no stone unturned to be the best voice for business, inside and out. “
The CBI went into yesterday’s vote having gained public backing from around a dozen companies, including Siemens, Microsoft and Esso, which sent a joint letter to the Times on Monday.
But there was still uncertainty over how the vote might play out, with CBI president Brian McBride writing that the “outcome of Tuesday’s vote isn’t a given.”
In his speech during the meeting, Mr McBride said that several members had reached out to offer help.
The UK Government has yet to comment on the vote, however CBI insiders will be hoping that ministers will start to re-engage with the lobby group.
The UK Government paused its interactions with the CBI during the scandal.
Shevaun Haviland, the boss of rival trade body the British Chambers of Commerce, said: “We are pleased to see the news that the CBI was successful in passing the vote to ensure its future at its Extraordinary General Meeting (EGM) this afternoon.
“Given the challenges facing the UK economy, it is vital for the business community to have a diverse range of voices representing their concerns and priorities into Government.”