How Penguin Canada Wiped Its Not-So-Clean Slate After a Nasty Harassment Case
When we last checked in on Penguin Canada, execs at its parent company were trying to buff up an image tarnished by a sexual harassment suit against CEO David Davidar. The suit's since been settled out of court. Now that the company has named a new chief and hired back Lisa Rundle (the former rights and contracts director who filed the suit), it appears poised to right the ship and reclaim its place as Canada's literary pride. It's not a moment too soon.
Indeed, Penguin Group (PSO) chairman and CEO John Makinson offered this optimistic nugget to the National Post when asked if he thought the 75-year old publisher's reputation would be compromised for good: "I would hope people outside the company and inside the company would look back at that experience and say, 'Yes, that was a difficult time for Penguin, but the company did the right thing.'"
On one hand, it did by doing the obvious: install a steadfast industry leader. Though it took a month to announce, Penguin's top brass insist that Mike Bryan, a 30-year veteran of the publishing company, was the number one candidate all along. Bryan launched Penguin Singapore and Penguin Malaysia, and assisted the start of operations in the Netherlands, Germany, France, Italy, and Spain. He was helming Penguin India when the call came, but had to wait until his replacement was found.
With decades of expertise and a long tenure with Penguin, Bryan does seem like an obvious choice. Makinson contends Bryan is going to manage operations and leave acquisitions to the editors -- the opposite of Davidar's role.
What's better is that Penguin appears to realize that despite its global scope, Penguin Canada's operations (and its strong list) are inexorably Canadian, which practically dictate that a national should have a top spot. As such, a new board chair will be appointed, "with senior experience in the media and publishing industries."
Makinson pointed out that this board is not in place to run the division, but merely to "help develop strategy." What he didn't say was how useful a board could be to police the activities of president and his staff to ensure there wouldn't be any further shenanigans like sexting during meetings.
On the other hand, there is the re-installation of Lisa Rundle. If you haven't been playing along at home, Rundle not only sued for harassment, but for wrongful dismissal as well. The settlement deal gagged everyone involved from further discussion of the charges, so we'll never know why the company that insisted it didn't fire her, welcomed her back with open arms.
However, Makinson did say that hiring Rundle back into her old role was both practically and ethically "the right thing to do." No kidding. It's also courageous. By doing so, Penguin management is all but admitting it did fire her, and it did once foster a culture that allowed harassment to occur.
At this point though, Penguin has no choice but to rip that bandage off and expose the ugly wound it's been nursing over the past three years. Restructuring its executive team, installing a board, and hiring back Rundle are a strong antiseptic. All the company needs now is time to heal.
Image via Melville House Publishing
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