25 Aug WTF AMP
The failure of AMP to deal with its culture of sexual harassment and misconduct, is why we’re all going to lose out in the long run. Yes, all of us; AMP investors, those with their super shares in big finance, and any honest working man or woman looking to their employer for a safe and fair workplace.
The 2017 Royal Commission into misconduct in financial institutions found that dishonest and illegal activity across big corporates was intrinsically linked to the culture of, ‘pursuing short term profit at the expense of basic standards of honesty.’ The findings resulted in fines, the loss of customers and a reduction in the share price for many of the worst offenders.
Since then, there’s been a lot of talk about, inclusion, fairness and equal opportunities, but the actions have failed to back the rhetoric. When AMP chose to allow Chief Executive, Boe Pahari to stay after settling a sexual harassment case, it was a slap in the face to everyone who has been hurt and wronged by the conduct of our financial institutions.
This is not just a women’s issue, or part of the #MeToo movement, this is saying, that as long as you have money and power (either as an individual or a corporation) you don’t have to play fair.
It has been argued that Pahari shouldn’t lose his job over a mistake for which he’s apologised. Hang on. A mistake? Firstly, men who intimidate, harass, tease and manipulate colleagues, are not making a mistake. They are just being themselves. It doesn’t become a mistake until they get caught and it’s only then that they are sorry, apologise and are penalised.
These people are not respectful, caring, professional human beings who suddenly have a brain snap. They are usually A-holes all along. So, there must be a corporate culture that enables their behaviour long term. And AMP has plenty of skin in the game with at least two other senior executives found guilty of similar charges.
The royal commission was more than 2 years ago. A meeting of AMP female staff to protest the culture happened last month. There’s no way that the organisation can argue that ‘things are changing.’ Their own people are telling them otherwise.
Further, any argument that a person is ‘indispensable’ and that their removal would cause more harm than good, exposes a far deeper problem. Where is the succession planning, training, professional development and collaboration? It’s irresponsible to have a single person responsible for making or breaking the share price.
One can only hope that the current pressure of major shareholders is enough to force AMP to look at the long term financial impact of their macho culture. If it’s the power of profit that stamps out sexism, I’d take it.
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