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CEO John Flannery is firing half of General Electric’s board

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In June, General Electric’s board of directors ousted longtime CEO Jeff Immelt, replacing him with John Flannery. Now, Flannery is trying to do the half the company’s board.

 

Published   |  Photo by Reuters/Arnd Wiegmann
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Flannery will eliminate nine of the board’s 18 members and add three new members, for a total of 12 directors.

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The move is an effort to introduce new perspectives while making the board less unwieldy. The purge speaks to GE’s desperation in the face of pressure from investors.

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Immelt was pushed out in part because activist investor Nelson Peltz was displeased with his performance. Peltz ally Edward Garden was named to the GE board in October, and it’s clear he isn’t going to be axed.

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