REIDsteel resigns from CBI after allegations made against group

Christchurch-based company John Reid and Sons, known as REIDsteel, resigned from the business lobbying group after further allegations were made against them.

The latest allegations were reported in the Guardian, surrounding a second allegation of rape and a case where a female employee was stalked by a male colleague.

Managing director of the firm, Simon Boyd, has also resigned his position as a founding member of the CBI’s manufacturing council.

The business said the allegations were ‘completely incompatible’ with its own values.

Mr Boyd said: “It is wholly inconceivable that REIDsteel can continue any association with the CBI following the latest, incredibly serious allegations.

“We have taken the decision to resign our company’s corporate membership and my personal position on its manufacturing council with immediate effect.

“The latest allegations are deeply concerning and completely at odds with our company’s values and culture where respect and inclusivity are absolutely paramount.”

The Dorset company has a ‘one team ethos’, and is family-owned having exported to more than 140 countries over its 104-year history.

Simon added: “Our thoughts are with those at the centre of the latest allegations, and anyone who has been negatively impacted in any way with failings at the organisation.

“Our thoughts are also with the many hardworking personnel at the CBI who do work with integrity as well as member businesses who do not tolerate misbehaviour or a culture that allows misbehaviour to happen.

“It must be emphasised that the overwhelming majority of businesses in this country are reputable and responsible companies, which make a huge contribution to the UK’s economy, tax receipts and prosperity.”

The government has suspended all engagement with CBI while law firm Fox Williams conducts an investigation.

The CBI has dismissed “a number of people” after a series of sexual misconduct allegations at the under-pressure lobby group.

Its president Brian McBride said that the board and senior leaders felt “a collective sense of shame” for having let down staff at the business group.

“In retrospect, we now know that we were complacent. And we made mistakes in how we organised the business that led to terrible consequences,” Mr McBride said.