United Way Worldwide CEO Gallagher resigns amid unrest

Brian A. Gallagher, who ran United Way Worldwide, the world’s largest privately funded nonprofit, since 2009, abruptly announced his resignation amid allegations that the charity mishandled domestic allegations of sexual harassment and discrimination.

Gallagher’s resignation, announced in a farewell note, takes effect on March 1. The group’s board of directors intends to announce an interim CEO before leaving.

In November, following complaints from three former female employees to the Equal Employment Opportunity Commission and published reports in HuffPost, United Way Worldwide hired a law firm to investigate the claims and how the nonprofit’s management handled them. Last week, the company, Proskauer Rose, concluded that the management of the complaints was adequate and that the dismissals were “based on legitimate, non-discriminatory and non-retaliatory reasons”.

Gallagher said in his farewell note that the publication of the report determined him to go to the planned exit.

“We were actively working for a transition for me a little later in 2021 at the end of a CEO search process,” Gallagher wrote to colleagues. “But I and the board think it’s better for United Way to step down as CEO sooner. It was important for me to stay in this period so that my colleagues and I could be free from any wrongdoing. That’s what was done; and now it feels like the right time. ā€

Lisa Bowman, who was executive vice president and director of marketing at United Way Worldwide until she said she was fired by Gallagher in retaliation for reporting sexual harassment by another executive, said the investigation was not “fair, balanced or “because the investigators did it without talking to any of the women involved.

“I was thrilled to hear that United Way has decided to do the right thing and make a change in leadership,” Bowman told the Associated Press. “This was a necessary step – but only the first step – towards creating a safe, fair job in which women are treated with respect and allowed to reach their full potential.”

Bowman’s complaint to the EEOC is still ongoing.

“I hope United Way will take this opportunity to listen and learn so that it can continue and improve its important work to support communities around the world,” she said.

United Way Worldwide oversees charity work in 1,800 communities in more than 40 countries.

Gallagher, who began his career at United Way in 1981, worked at five local United Ways before becoming president and CEO of United Way of America in 2002. He took over the leadership of United Way Worldwide in 2009.

“We are grateful for Brian’s four decades of leadership and service on behalf of the United Way mission,” said Dr. Juliette Tuakli, chairman of the board of United Way Worldwide, in a statement. “Brian has always said that a great leader of the United Way is the one who puts the interests of the community first, their organization follows their own interests. Brian embodied this standard. ā€

United Way Worldwide officials have declined in recent weeks to comment on local rumors that United Ways is holding back its debt payments due to allegations of misconduct. But Gallagher acknowledged that his exit comes at a difficult time for United Way Worldwide, which recently instituted some layoffs at its Alexandria, Virginia headquarters and temporary pay cuts for senior staff.

“It’s been a very difficult year,” Gallagher wrote to his colleagues. “The global pandemic, the resulting economic consequence and the strong inequities in our communities have led to great suffering for so many. United Ways’ response around the world and at United Way Worldwide was inspiring. We returned to our roots by helping those most in need by any means necessary and we did it together; a lesson we should learn first. ā€

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