Ray Kelvin held Ted Baker too tight
Yet another big-name chief executive has stepped down from their position at the helm of a well-known British business.
The founder of fashion retail brand Ted Baker, Ray Kelvin, announced last Monday that he was going to be resigning from his position as chief executive, as the firm investigates allegations that he behaved inappropriately toward staff.
Corporate responsibility has changed so much that the damage imposed by these types of allegations could be irreparable.
Having a strong ethical code in how you practise business is paramount to success in 2019.
More than 300 former and current staff signed a petition on the campaigning site Organise last year complaining about his behaviour.
What exactly was he alleged to have done? Giving hugs. He was a hugger, and liked a cuddle in the office now and then.
When employees challenged this behaviour and went to their HR department, they were allegedly told that is just how Ray is.
I have never hugged or even attempted to hug any employee. That’s just how I am. I have put the squeeze on employees now and then, but not literally with my arms wrapped firmly around them. That would be a bit weird.
But how was this allowed to go on for so many years?
Surely those in the management team and who worked so closely with him across three decades could have had a quiet word on a stroll to a meeting or over coffee: “Listen Ray, we all know you like it, but cuddles just aren’t that appropriate by the printer.”
The mentality of keeping calm and carrying on in British business does need to be looked at, I think.
Ray Kelvin started the company 30 years ago. Don’t get me wrong, the man is a giant of the British fashion and retail industries, and Ted Baker is a truly iconic British success story. And yet, he had no choice but to step down as soon as an investigation had started. The modern workplace has moved on, and the codes of conduct now expected by companies and their employees have progressed.
The dinosaur chief execs and founders who ruled through bullying, eccentricity, and inappropriate behaviour are becoming extinct.
The badly behaving bosses are gradually being weeded out – we’re cleaning house.
Social media and the power of online communities and platforms like Facebook are uniting the workforce.
Good behaviour within a company is now being celebrated by both consumer and employee alike, while bad behaviour is punished.
As soon as reports of Kelvin’s actions became public in December last year, the FTSE 250 company’s share price plummeted.
Investors knew the writing was on the wall, even if the allegations were proven to be untrue. No amount of damage control could stop his inevitable departure.
These days, employees want to work for brands that have a moral compass and an ethical stance.
Gone are the days when the boss who does and says inappropriate things is merely greeted by an eye-roll across the office.
We should be applauding those current and former Ted Baker employees who came forward and signed that online petition.
However, all those around Kelvin who simply turned their heads and looked the other way are as culpable, and questions should be asked.
As a boss, you don’t have to be naughty to make money in 2019. You do have to be ethical and responsible for your actions. Be an adult and shake hands. It really isn’t that hard.