Ford's Raj Nair is Ousted Over “Inappropriate Behavior”

Raj Nair, Ford’s President of North America has left the company effective immediately after an internal investigation revealed behavior that was "inconsistent with the company's code of conduct."

“We made this decision after a thorough review and careful consideration. Ford is deeply committed to providing and nurturing a safe and respectful culture and we expect our leaders to fully uphold these values,” said Ford President and CEO Jim Hackett in a statement.

The Detroit News reports the investigation stemmed from an anonymous complaint accusing Nair of unspecified behavior. Ford wouldn't go into detail about the behavior "to protect the privacy of those involved."

“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. I continue to have the utmost faith in the people of Ford Motor Company and wish them continued success in the future,” said Nair in a statement.  

Nair had been Ford's North American president since last May. Before that, Nair was Ford's chief technical officer. The company said a replacement would be announced in the near future.

This is the latest black eye to hit Ford. Back in August, the company agreed to pay $10.125 million to settle an investigation into race and sexual harassment at two of their plants by U.S. Equal Employment Opportunity Commission (EEOC). In December, the New York Times published a scathing report talking about the culture of harassment at the two Chicago plants that had been going on for a number of years.

“This comes at a particularly bad time for Ford, which only last spring ousted Mark Fields as CEO. Investors and analysts have been unhappy with the seeming lack of a clear direction for Ford, especially in terms of future mobility services," said Michelle Krebs, an analyst with Auto Trader in an email to the Detroit News.

"The pressure is on Jim Hackett, anointed CEO last spring, to lay out a clear road ahead for Ford.”

We'll keep you posted on any new developments come to light.

Source: Ford, The Detroit News, Reuters
Press Release is on Page 2

Raj Nair, Ford’s President Of North America, Exits Company

DEARBORN, Mich., Feb. 21, 2018 – Ford Motor Company today announced that Raj Nair, executive vice president and president, North America, is departing from Ford effective immediately.

The decision follows a recent internal investigation into reports of inappropriate behavior. The review determined certain behavior by Nair was inconsistent with the company’s code of conduct.

“We made this decision after a thorough review and careful consideration,” said Ford President and CEO Jim Hackett. “Ford is deeply committed to providing and nurturing a safe and respectful culture and we expect our leaders to fully uphold these values.”

Said Nair: “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. I continue to have the utmost faith in the people of Ford Motor Company and wish them continued success in the future.”

Nair has been president of Ford North America since June 1, 2017.  Prior to that, he served as Ford’s head of global product development and chief technical officer.

Nair’s replacement will be subject to an announcement in the near future.