Merck CEO puts personal politics ahead of shareholder interests: Stuart Varney
FBN's Stuart Varney on Merck CEO Ken Frazier's resignation from President Trump's American Manufacturing Council.
It sure seems like everything is political these days. Case in point: the president's manufacturing advisory council.
It was established to give advice to the president. Twenty-eight CEO’s and union leaders brought together to work on bringing jobs to America. Surely, it’s an economic institution.
But it now reflects politics.
Kenneth Frazier, the CEO of Merck, has resigned from the council. He did not approve of the president's statements about the events in Charlottesville. He resigned "as a matter of personal conscience". Mr. Frazier has put his personal politics, ahead of his responsibilities as CEO of (the) giant drug maker.
The owners of Merck, the shareholders, may not approve. A CEO runs the company on behalf of shareholders, not to push forward his or her personal political beliefs.
Merck no longer has a seat at the president's table. It is not in the jobs loop. Worse, it has drawn the anger of the president, who has issued two tweets on this. Both threaten to go after Merck's drug pricing policies.
Perhaps Mr. Frazier believes that Merck's best interest lies in separating the company he runs from this presidency. In which case he should say so. And, remove Merck from the list of companies which favor tax cuts and de-regulation.
Five CEO’s have now left the council, over the last few months. Politics, and anti-Trump feeling is at the heart of all these departures.
Not good.....