CEO May Lose His Job After Massey Mine Explosion
Before a root cause has been determined, there is pressure on Massey Energy to dump their CEO. Here’s a link to a Wall Street Journal story:
I know that I’ve written about workers being fired before an investigation is completed. I’ve written how unfair and counterproductive knee-jerk firings are.
But what about this action to “… strip CEO Don Blankenship of his position as Chairman of the Board“? Is that fair?
The article says:
“… the California Public Employees’ Retirement System and the California State Teachers’ Retirement System, argue that the board failed to adequately police management’s handling of safety issues …”
Is the accident enough proof of this or do they need an independent investigation with good root cause analysis?
It also says:
“Mr. Blankenship, whose board term expires next year, said he has no plans to step down. ‘I’ve done what I could to run the company properly in every regard,’ he said in an interview Tuesday. ‘Nobody wants to be singled out and falsely accused and criticized.”’
What do you think? Should a CEO be held to a higher standard? Do they need the results of a root cause analysis before they start taking corrective actions?