Primark’s boss resigns due to’misjudgment’

Paul Marchant, the Primark chief executive, has resigned after a woman made an allegation about his behaviour in a social setting.

Marchant “acknowledged” his mistake of judgement after an external investigation. He also accepted that his actions were “below the standards expected by his business”.

Associated British Foods (Primark’s owner) said he was cooperating with the investigation, and apologized to the woman.

George Weston, ABF’s chief executive officer, said: “I feel deeply disappointed. Respect and dignity must be shown to colleagues and others. Our culture must be bigger than anyone.

At ABF, high standards of ethics are important. “Acting responsibly is the only long-term way to manage and build a business.”

Marchant was the chief executive officer of the fashion retailer, since 2009. Eoin Tong, ABF’s Finance Director, will be Primark’s interim chief.

ABF’s shares fell almost 4%, to PS18.64, after the announcement.

The company stated that it would continue to “offer support to the individual” who brought to its attention this behavior.

Hannah Copeland Senior HR Consultant, WorkNest said that the resignation will serve as a “reality-check” for businesses.

She said: “While this is a good sign that employees are comfortable raising their concerns about a leader in particular, it raises questions about how much is being done in order to meet the obligations laid out in The Worker Protection Act (Amendment of Equality Act 2010). Act 2023 which became effective on 26 October 2024.”

This legislation imposes a legal obligation on employers to take reasonable measures to prevent sexual harassment at the workplace.

It is important to provide regular training in workplace ethics, conduct and code of behavior. These programs prevent misconduct, and make sure that all employees are aware of expectations and the potential consequences.

Personnel Today: HR roles for retail and wholesale

Browse HR positions in Retail and Wholesale