Firms sign letter backing CBI ahead of key vote

The computer software giant is one of 13 signatories to the letter supporting the CBI in its battle for survival

The engineering giant Siemens, Microsoft and oil firm Esso have signed a letter backing the CBI ahead of a crunch vote on its future.

The firms are among 13 signatories of a letter seen by the BBC giving the business group a "mandate to continue".

The CBI is fighting for its survival after claims of sexual misconduct against staff led to an exodus of members, including John Lewis and BMW.

Results of the "critical" vote will be revealed next week.

The ballot on a "programme of change" is likely to be seen as a key moment for the organisation's future.

Asked if the lobby group would shut down in the event it lost support, the CBI's director-general Rain Newton-Smith told the BBC's Sunday with Laura Kuenssberg it was a "really nerve-racking time".

But Ms Newton-Smith, who has described the vote as critical, said she was "absolutely determined that we lead this programme of change" so that the CBI could be a "collective voice for business".

"It's been absolutely devastating to read about some of these instances and I think, I hope, we are emerging from what has been a really deep and painful crisis for us," she added.

The CBI - the Confederation of British Industry - is one of the UK's most prominent lobby groups. Its role is speak to the government on behalf of around 190,000 businesses, which employ millions of people, and share best practice.

But in April, after allegations of harassment and sexual assault emerged - including two claims of rape, one at a summer party held in 2019, and another at an overseas office - some big household names cut ties with the group.

The City of London Police is currently investigating the rape allegations.

• Business group hired 'toxic' staff and failed to act

Some members, such as Tesco and Sainsbury's have suspended engagement with the group and the government has also paused its activities with the CBI, with Chancellor Jeremy Hunt stating there was "no point" working with it when its own members had deserted it.

Following an investigation by law firm Fox Williams, the CBI announced a "programme of change" last week, which has been put to remaining members to vote on.

The reforms are designed to restore trust in the body and include a refresh of the CBI board and the creation of a new committee to focus on people and human resources matters. There will also be staff cuts.

The 13 companies

The letter, signed by the firms backing the troubled lobby group, is expected to be published in Monday's Times newspaper, the BBC understands.

"We believe that the CBI has recognised its failings and has a robust action plan in place to be delivered by a new leadership," the letter says.

"We're backing the CBI to change and move forward and this group will vote to give the organisation a mandate to continue.

"This is not a blank cheque and we will hold the CBI to account in delivering on its action plan."

Carl Ennis, chief executive of Siemens in Britain and Ireland, said the firm believed the UK needed an "effective voice for businesses of all sizes and across different sectors".

"Their recovery plan, while it is only a start, identifies a path forwards," he told the BBC.

Pay cuts

The CBI has suspended its own day-to-day operations due to the allegations and will only resume work if members back its plans for change.

The group announced earlier this week it would have to let staff go as it looked to trim its wage bill by a third after losing revenue from a drop in membership.

• CBI to slash jobs as it fights for survival

Asked if she was taking a pay cut Ms Newton-Smith said: "We are looking at all the options."

"My pay is already not as high as my predecessors," she added. "What is really important is that we protect as many jobs as we can through this. I don't want to lose any colleagues."

Former director-general of the CBI, Tony Danker, was dismissed after being the subject of separate complaints of workplace misconduct, unrelated to the sexual assault and rape claims, for which he has apologised.

The Sunday Times reported he was "preparing" to sue the group. Mr Danker previously told the BBC he was considering legal action, but did not want to sue.