Ford Official Fired for Misconduct -- WSJ
22 February 2018 - 7:02PM
Dow Jones News
North America chief Raj Nair regrets actions inconsistent with
company code
By Austen Hufford and John D. Stoll
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (February 22, 2018).
A top Ford Motor Co. executive has been fired following
misconduct allegations, the latest business leader to be shown the
door amid broader scrutiny of workplace behavior in the U.S.
Raj Nair, a 53-year-old Ford veteran who most recently ran the
auto company's profitable North American business, is leaving after
an investigation found his behavior was inconsistent with the
company's code of conduct.
The specific nature of the allegations against Mr. Nair wasn't
immediately clear.
Ford spokesman Mark Truby said Mr. Nair's departure stems from
an anonymous tip received in recent weeks, which the company then
investigated.
In a statement Wednesday, Mr. Nair said: "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."
While the auto industry hasn't been central to the recent wave
of scandal that has engulfed a range of companies and high-profile
personalities and executives, Ford has had to confront
sexual-harassment claims on the factory floor. Its Chicago plant
has been subject to claims brought by women as early as the 1990s
saying they were harassed and bullied.
Ford Chief Executive Jim Hackett, who has condemned the behavior
displayed at the plant, said in a statement Wednesday that the
company let Mr. Nair go "after a thorough review and careful
consideration."
The ouster hits as Ford is working to soothe investor concern
about slipping profits in a flat U.S. auto market.
Its North American business, responsible for the bulk of the
company's black ink, could face pressure as General Motors Co. and
Fiat Chrysler Automobiles NV prepare to launch full-size pickup
trucks this year. Ford's rivals have long aimed to chip away at the
Ford F-150's dominance in the lucrative truck market.
"This comes at a particularly bad time for Ford, which only last
spring ousted Mark Fields as CEO," Autotrader.com analyst Michelle
Krebs said, referring to Mr. Nair's departure. "Investors and
analysts have been unhappy with the seeming lack of a clear
direction."
Although Ms. Krebs characterized Mr. Nair as a "rising star,"
she noted Ford hasn't articulated a firm strategy for future
mobility services. Auto makers are racing to develop driverless
cars and expand into ride hailing or car sharing.
Mr. Nair, a car enthusiast who once headed Ford's
product-development arm, is one of a handful of executives that Mr.
Hackett picked to be part of a management shuffle when he became
Ford's chief executive nearly a year ago.
He was a 31-year veteran of the Dearborn auto maker, having
overseen several vehicle launches and the recent development of the
Ford GT supercar.
Mr. Nair received a retention bonus less than a year ago, which
would have paid out about $5 million if he had stayed until the end
of the decade. He was one of a number of senior leaders given
special incentives shortly before Mr. Hackett's arrival.
His successor has yet to be announced.
Write to Austen Hufford at austen.hufford@wsj.com and John D.
Stoll at john.stoll@wsj.com
(END) Dow Jones Newswires
February 22, 2018 02:47 ET (07:47 GMT)
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