Top two executives at City & Guilds placed on leave | Business
Two of City & Guilds’ most senior executives have been placed on leave shortly after a multi-million pound bonus scandal triggered a Charity Commission investigation into the vocational training agency.
City & Guilds told staff its chief executive Kirstie Donnelly and chief financial officer Abid Ismail “will be away from work for a short period”.
Last week, the charity watchdog launched a legal investigation into City & Guilds’ sale of its qualification awards business to a private company last year. The investigation will examine a range of issues, including “concerns raised in public reporting about the sale and bonuses given to executives”.
The investigation was announced after the Guardian revealed last month that City & Guilds executives received multimillion-pound bonuses after the charity privatized its trading arm.
The payments, understood to include a reward of £1.7 million to Donnelly and £1.2 million to Ismail, were revealed following reports that the privatized City & Guilds firm was also embarking on a £22 million cost-cutting drive and shrinking its UK workforce after the charity was sold by its owner to PeopleCert, an international certification company.
In what appeared to be an internal email to staff, City & Guilds said: “We are writing to inform you that Kirstie Donnelly and Abid Ismail will be away from work for a short period of time.”
Both executives remained with the company after it was sold by the charity to PeopleCert.
“During this period, their responsibilities will be temporarily handled by Andy Moss, City & Guilds’ chief customer officer, and Konstantinos Andrikopoulos, PeopleCert’s vice president of finance, to ensure City & Guilds continues to deliver the best possible experience to our partners, customers and students.”
No reason was given for the changes. Donnelly and Ismail were contacted while City & Guilds did not comment. The company has previously said bonuses were not agreed or paid by the charity and that pay was a newly private sector matter.
Founded in 1878 by the City of London and 16 livery companies, the original institute developed a national system of technical training. qualifications and apprenticeships in fields ranging from manufacturing and mechanical engineering to hairdressing and horticulture. It is stated that this facility, which was awarded a royal privilege by Queen Victoria in 1900, helps approximately 1.1 million people annually.
The organization has a long history with alumni including chefs Jamie Oliver, Marcus Wareing and Gordon Ramsayformer England football manager Gareth Southgate, famous gardener Alan Titchmarsh and fashion designer Karen Millen.
The training and awards business was previously owned by the City & Guilds of London Institute (CGLI); This organization announced that it would sell the operation to itself in the fall. Person Certificate.
philanthropy, which provides grants to people in need of vocational trainingHe said the sale gave him a cash gain of between £180 million and £200 million. He said the proceeds would secure the long-term future, enable him to pursue his philanthropic goals and provide further investment and opportunities for his education business, which is currently privately owned.
The Charity Commission is investigating events at the charity, not the private company.
Trustees of charity CGLI said: “We accept the Charity Commission’s legitimate investigation and are co-operating fully with its investigation. We are confident that all actions taken by the trustees are appropriate, transparent and in line with our charitable purpose.
“We are committed to maintaining the public trust and will continue to act in the best interests of the charity and its beneficiaries.”
