Ford ousts chief of North American unit for 'inappropriate behavior'

pulse

February 22, 2018 5:48 AM

Ford Motor Co. ousted one of its most senior officials Wednesday over what it called “inappropriate behavior,” adding to the turmoil at a company already struggling to lift its profits and plot a new strategic course.

The official, Raj Nair, had been an executive vice president and the head of Ford’s North American operations since June. He had previously served as Ford’s chief technology officer during his three-decade career with the automaker.

“We made this decision after a thorough review and careful consideration,” Ford’s chief executive, Jim Hackett, said in a statement released by the company. “Ford is deeply committed to providing and nurturing a safe and respectful culture, and we expect our leaders to fully uphold these values.”

In recent months, there has been a wave of dismissals and resignations of powerful corporate officials after revelations about workplace misconduct, including sexual harassment. Nair’s departure from Ford is one of the most prominent ousters outside the media and entertainment industries.

Concerns over the workplace culture at Ford have become a persistent problem for the company. Details of sexual and racial harassment of female workers at two of the automaker’s plants were uncovered in a New York Times investigation published in December.

Ford declined to elaborate on the nature of Nair’s actions, but said that an internal investigation had determined they had been inconsistent with the company’s code of conduct.

The company is expected to move two current executives, Kumar Galhotra and Stuart Rowley, into new posts that cover the responsibilities Nair had as the head of North America, two people familiar with the matter said. Galhotra is Ford’s chief marketing officer and head of the Lincoln brand. Rowley is Ford’s vice president of strategy.

Nair, 53, had been seen as a rising star at the automaker, and a potential future chief executive.

In a statement issued by Ford Wednesday, Nair was contrite.

“I sincerely regret that there have been instances where I have not exhibited leadership behaviors consistent with the principles that the company and I have always espoused,” Nair said in the statement.

This article originally appeared in The New York Times.

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