Brian A. Gallagher, who has headed United Way Worldwide, the world’s largest privately funded nonprofit since 2009, abruptly announced his resignation on Tuesday amid allegations that the charity mishandled internal allegations of sexual harassment and discrimination.
Gallagher’s resignation, announced in a farewell note, is effective March 1. The group’s board of directors plans to announce an interim CEO before leaving.
In November, after complaints filed by three former female employees with the Equal Employment Opportunity Commission and reports published in HuffPost, United Way Worldwide hired a law firm to investigate the claims and how the leadership of the nonprofit handled them. Last week, the company, Proskauer Rose, concluded that management’s handling of the complaints was appropriate and that the layoffs were “based on legitimate, non-discriminatory and non-retaliatory grounds”.
Gallagher said in his suicide note that the release of the report made him decide to postpone his planned exit.
“We were actively working on a transition for me sometime later in 2021 at the end of a CEO search process,” Gallagher wrote to his colleagues. “But I and the board think it would be best for United Way if I return as CEO sooner. It was important to me that I spend this period so that my colleagues and I could be cleared of any mistake. That’s done; and now it feels like the right time. “
Lisa Bowman, who was executive vice president and chief marketing officer 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 thorough. ” was because the researchers did not talk to any of the women involved.
“I was delighted 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 – to create a safe, fair workplace where women are treated with respect and can achieve their full potential.”
Bowman’s complaint to the EEOC is still pending.
“I hope United Way will take this opportunity to listen and learn so that it can continue and improve its important work in supporting 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. In 2009 he took over the helm of United Way Worldwide.
“We are grateful to Brian for his four decades of leadership and service in the name of the United Way mission,” Dr. Juliette Tuakli, United Way Worldwide Chairman of the Board, wrote in a statement. “Brian has always said that a great United Way leader is someone who puts the interests of the community first, then their organization, and their own interests last. Brian embodied that standard. “
United Way Worldwide officials had declined in recent weeks to comment on the rumblings of local United Ways who had withheld their dues over the allegations of misconduct. But Gallagher acknowledged that his departure comes at a difficult time for United Way Worldwide, which recently instituted several layoffs from its Alexandria, Virginia, headquarters and temporary salary cuts for senior staff.
“It has been a very difficult year,” Gallagher wrote to his colleagues. “The global pandemic, the resulting economic consequences and the great inequalities in our communities have caused great suffering for many. The response from United Ways around the world and United Way Worldwide has been inspiring. We have returned to our roots by helping the most needy by whatever means possible, and we have done it together; a lesson we must continue. “
___
The Associated Press receives support from the Lilly Endowment for reporting on philanthropy and nonprofits. The AP is solely responsible for all content.