Intel's CEO asked to resign over 'consensual relationship' with employee
What's the story
Intel has announced that CEO Brian Krzanich has resigned from the company with immediate effect because he "had a past consensual relationship with an Intel employee."
This stands in direct violation of Intel's non-fraternization policy, the company said in an official press release.
The company has begun search for a permanent replacement, meanwhile, CFO Robert Swan will act as the interim CEO of Intel.
Details
No one is above Intel's company policies
While the said relationship occurred "some time back" and has now ended, the company was only recently informed about it.
Post the revelation, an investigation ensued by Intel's internal and external counsel led to the quick leadership change.
Krzanich was asked to resign as CEO and chairman of the board to show "that all employees will adhere to the company's code of conduct."
Details
Intel has also removed Krzanich's biography from its website
In particular, Krzanich violated the policy that said all managers, even if it is the CEO, are forbidden to have relationships with employees who either directly or indirectly report to them.
Intel's board of directors has "a robust succession planning process in place" and is considering both internal and external candidates for the post of CEO.
During Krzanich's tenure, Intel's stock rose about 120%.
Background
In 2017, Krzanich's total compensation topped $21 million
Krzanich, 58, joined Intel in 1982.
He became the CEO in May 2013 and took the responsibility of evolving Intel from a PC-centric company, comfortable in the chip manufacturing market, to a data-centric company.
According to Krzanich's 2016 memo, his goal was to "transform Intel from a PC company to a company that powers the cloud and billions of smart, connected computing devices."