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The head of the fast fashion retailer, Primark resigned on Monday after admitting that he made a “error of judgment” with a woman in a social environment.
Primark’s parent company, Associated British Foods Plc, said that Paul’s departure is coming after the complaint of his behavior. AB Foods called on the Eoin Tonge financial director to become acting CEO immediately.
Walking realized that his actions “fell below the standards expected by ABF”
An investigation was launched by AB Foods, and carried out by external lawyers, in the allegation made by the individual of his behavior. According to the retailer, Marchant recognized his “error of judgment” and realized that his actions “fell below the standards expected by ABF”.
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Paul Marchant, CEO of the Irish multinational fashion retailer Primark, poses for a photograph following an AFP interview at the Society’s headquarters in Dublin on November 21, 2024. (Paul Faith / AFP via Getty Images / Getty Images)
The Managing Director apologized to the individual, the Associated British Foods Board and his colleagues as well as “others related to the company”, according to the company.
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AB Foods Director General George Weston said he was “extremely disappointed” in Marchant, because the company considers “that high integrity standards are essential”.
View of the entrance to a Primark store. (Marcos del Mazo / Lightrocket via Getty Images / Getty Images)
“Acting responsible is the only way to create and manage a long -term business,” said Weston. “Colleagues and others must be treated with respect and dignity. Our culture must be, and is, greater than any individual.”
The retail chain was founded in Ireland in 1969 under the Penneys brand. Today, the multinational brand operates in 17 countries in Europe and the United States. It employs more than 80,000 people.
Primark has 450 stores around the world. AB Foods also has several other divisions, including a grocery, sugar, agriculture and ingredients company, but its retail company contributes to about half of the group profit to AB food.
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Barclays’ analysts said that the position of walking, one of the main roles of British retail, will probably receive a lot of interest from potential candidates.
“But we do not think that Primark is in a hurry to fill the void until they find the right person to take care of,” they said.
Reuters contributed to this report.
