DGL Group says it will appoint an advisory firm to conduct a “thorough, independent” review of its culture in the wake of its chief executive Simon Henry calling celebrity chef Nadia Lim “a bit of Eurasian fluff”.<\/p>\n
It also intends to review the company’s senior executive pay structure.<\/p>\n
The company’s remuneration committee would come up with a plan to implement “a balanced scorecard approach for assessing at-risk remuneration”.<\/p>\n
The target date to implement the approach was July 1.<\/p>\n
The Australian chemicals company, 57 per cent owned by Henry, a New Zealander, said in a statement to the ASX it was “determined to ensure respect for diversity and inclusion is embedded firmly through DGL Group’s culture at all levels”.<\/p>\n
The board of the ASX and NZX-listed company said it had previously stated that Henry’s comments were offensive and unacceptable.<\/p>\n
They were also inconsistent with the cultural values expected of an organisation like DGL, the board has said.<\/p>\n
The company was determined to ensure its adherence to ESG principles aligned with market expectations, the ASX statement said.<\/p>\n
“To this end, the board has commenced a process leading to the appointment of a suitable advisory firm to conduct a thorough independent review of DGL’s culture and recommend any changes necessary to ensure the culture reflects key values.”<\/p>\n
DGL’s share price on the NZX has fallen 20 per cent, or 80c, in the past five trading days. It closed at $3.20.<\/p>\n
The statement said Henry had apologised to Lim, the board, employees and by extension all stakeholders for his remarks and “the board acknowledges his genuine regret”.<\/p>\n
Henry understood the importance of his own conduct in setting standards across the company, it said.<\/p>\n
“He is fully supportive of, and will participate in, this process initiated by the board.”<\/p>\n
Henry is an executive director on the board, as well as chief executive of DGL.<\/p>\n