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Pin to quick picksGlaxosmithkline Share News (GSK)

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UPDATE 4-GSK fires former U.S. govt vaccine head Slaoui over harassment allegation

Wed, 24th Mar 2021 13:45

* GSK says allegations of harassment have been substantiated

* Slaoui was former chief adviser of U.S. Operation Warp
Speed

* Contract as chairman at Galvani joint venture terminated
(Adds detail on Slaoui's recent work and appointments)

By Ludwig Burger

FRANKFURT, March 24 (Reuters) - GlaxoSmithKline has
dismissed Moncef Slaoui, former U.S. government vaccine chief,
as chairman of a company controlled by the British drugmaker
after an internal investigation found he had sexually harassed a
GSK employee several years ago.

GSK said the termination of Slaoui's contract at Galvani
Bioelectronics was with immediate effect. Slaoui, the former
chief adviser to the U.S. COVID-19 vaccine development programme
known as Operation Warp Speed (OWS), was not immediately
reachable for comment by telephone and LinkedIn account.

GSK said an investigation into Slaoui's conduct, performed
on its behalf by an independent law firm, had substantiated
allegations of harassment and inappropriate contact, adding the
inquiry was ongoing.

The termination of Slaoui’s contract follows receipt of a
letter containing the allegations of inappropriate conduct
towards the employee of GSK, the company said in a statement.
GSK said the allegations stemmed from when Slaoui was an
employee of GSK.

The company's London-listed shares were down 1% in afternoon
trade.

In a letter to staff and reviewed by Reuters, GSK Chief
Executive Emma Walmsley said the company has been dealing with
the allegations since February.

"Dr. Slaoui’s behaviours represent an abuse of his
leadership position and violate our company policies, our values
and our commitment to Trust – a commitment I know is shared by
all of you," she said.

Appointed by former U.S. President Donald Trump as OWS's
chief adviser last year, Slaoui oversaw more than $10 billion in
government funding of vaccine development and production. He
resigned from the post in January ahead of the incoming
administration of President Joe Biden.

Galvani is a bioelectronic medicines company set up in 2016
by 55%-owner GSK and Verily, the life sciences unit of Google
parent Alphabet.

A GSK spokesman said U.S. law firm Morgan Lewis had carried
out the investigation, which was led by partner Grace Speights,

Her high-profile work on misconduct claims and corporate
diversity includes membership of Alphabet's advisory council,
set up last year to oversee the technology firm's efforts to
promote diversity and inclusion.

Prior to his role at Galvani, Slaoui spent nearly 30 years
at GSK and held various leadership roles including head of
pharmaceutical R&D and chairman of its vaccines division. He
left the GSK board in 2017.

Executive behaviour and treatment of employees have been
under scrutiny over the past few years as the #MeToo social
media movement prompted a string of high-profile boardroom
departures.

Slaoui joined Centessa Pharma last month as chief scientific
officer after leaving OWS.

Since 2017, he has been a partner at Medicxi, the investment
firm that founded Centessa by merging 10 of its portfolio
companies.

Centessa did not have an immediate comment. Calls and
messages to Medicxi and an external communications firm were not
immediately answered.

Christopher Corsico, senior vice president of development at
GSK and a board member at Galvani, has been appointed as the new
chair, GSK said. Amy Altshul, senior vice president Legal, R&D
and global commercial franchises at GSK, has also been appointed
to the board, it said.
(Reporting by Ludwig Burger.
Additional reporting by Mike Erman and Manas Mishra.
Editing by Josephine Mason, David Goodman and Mark Potter)

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