We’ll Have What He’s Having: Market Basket CEO
August 28, 2014
As a CEO you know you’re doing something right when your employees revolt in protest on your behalf, as was the case with New England based Market Basket CEO Arthur T. Demoulas. This site often writes about CEO’s behaving badly, so it’s refreshing to write about one that employees want to fight for opposed to with (take note startups).
Demoulas was ousted in June by a board of directors controlled by his cousin, Arthur S. Demoulas, causing workers to stage protests. Hundreds of warehouse workers and drivers refused to deliver food to the chain’s stores in Massachusetts, New Hampshire and Maine, leading to empty shelves and tens of millions in lost revenue. AP with CNBC
Whatever Arthur T. Demoulas is doing it should be taught in business schools across the country. Customers and employees took a page from The Sociopathic Business Model™ and forced accountability from the Market Basket board of directors.
The uproar over Arthur T. Demoulas’ firing prompted massive protest rallies outside the company’s Tewksbury, Massachusetts, headquarters. After the company fired eight supervisors who helped organize the revolt, public support for the workers intensified.
Thousands of customers, as well as more than 160 mayors and legislators in Massachusetts and New Hampshire, signed petitions agreeing to boycott Market Basket. The chain has about 25,000 employees and 71 stores in Massachusetts, New Hampshire and Maine. The stores, usually jam-packed with shoppers attracted by the chain’s low prices, have had only a trickle of customers for weeks.
We need to see more of this in the workplace today where employees and consumers band together for common goals against big business. Companies like Johnson & Johnson should take a glimpse of their future –patients who have been harmed, consumers who have been mislead, employees who have been abused, and taxpayers footing the bill for their mistakes will no longer be tolerated. Perhaps Arthur T. Demoulas could also teach a thing or two to Johnson & Johnson’s CEO Alex Gorsky.