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Primark CEO resigns following workplace conduct investigation

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Associated British Foods (ABF), Primark’s parent company, confirmed that Marchant admitted an “error of judgment” and accepted that his actions did not meet company standards.

ABF launched an investigation into the matter, conducted by external legal firm Herbert Smith Freehills. Marchant cooperated with the process and apologised to the individual involved, the ABF board, Primark employees and others associated with the business. His resignation took effect immediately on Sunday.

A prior incident

This was not the first time ABF had investigated Marchant’s conduct; ABF stated that a previous incident involving “inappropriate communication” was investigated in the past, and that “proportionate action was taken at the time”.

George Weston, chief executive of ABF, stated that he was “immensely disappointed” by the incident.

“At ABF, we believe that high standards of integrity are essential. Acting responsibly is the only way to build and manage a business over the long term,” he said. “Colleagues and others must be treated with respect and dignity. Our culture has to be, and is, bigger than any one individual.”

ABF confirmed that support would continue to be offered to the individual who raised the allegation.

Leadership transition at Primark

Eoin Tonge, ABF’s finance director, has been appointed as Primark’s interim chief executive. Joana Edwards, the group’s financial controller, will serve as interim finance director. The company has not yet confirmed when a permanent replacement for Marchant will be announced.

Marchant joined Primark in 2009 as chief operating officer and became chief executive later that year, succeeding founder Arthur Ryan. His previous experience includes roles at Debenhams, Topman, River Island and New Look.

ABF reiterated its commitment to maintaining a safe, respectful and inclusive work environment. The company stated that Primark is dedicated to ethical business practices at all levels.

Hannah Copeland, senior HR consultant at WorkNest, highlighted the broader implications of Marchant’s resignation. She emphasised the need for businesses to foster a culture where misconduct allegations are taken seriously and addressed proactively.

“This resignation is a reality check for all companies and organisations about the importance of leaders developing and spearheading a culture in which complaints, and especially those which contain an element of sexual harassment, are dealt with immediately and proactively,” she said.

She also noted that the case raises questions about compliance with The Worker Protection (Amendment of Equality Act 2010) Act 2023, which came into effect on 26 October 2024. The legislation requires employers to take reasonable steps to prevent sexual harassment in the workplace.

Copeland stressed the importance of regular training on workplace conduct, ethics and company policies. “Such programs help prevent misconduct and ensure that all employees, especially those in leadership positions, are aware of the expectations and potential consequences of their actions,” she said.

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