The Wall Street Journal story, published at the end of June, came as a “bombshell” and, after initially denying all accusations, the World Economic Forum finally took action. It appointed a special commission – supported by a prestigious law firm – to investigate the accusations of serious cases of sexual and racial discrimination, sexual harassment and harassment labour in the structure that, among other initiatives, organizes the annual Davos meetings.

The founder and main face of the World Economic Forum, the German Klaus SchwabHe was one of the targets of allegations of sexual harassment and discrimination that were detailed in The Wall Street Journal article.

Schwab, who is now 86 years old, founded this group of experts when he was just a young economist and transformed the Forum into an influential institution whose mission is to “improve” the world and human societies, particularly through the events it promotes and the reports it produces on topics such as gender equality and environmental and economic sustainability.

However, behind the scenes the reality within the structure could not be more dissonant, says the report carried out by the American newspaper, which was based on interviews with more than 80 current and former employees. These sources assured that, under the leadership of Klaus Schwab, the institution a hostile atmosphere towards women and blackswith allegations of sexual harassment and discrimination against women who became pregnant.

More “awkward” than “threatening”: Schwab accused of inappropriate comments about women

Klaus Schwab himself, who announced in May that he would step down as executive chairman of the World Economic Forum (remaining solely as non-executive chairman of the board of directors) is directly addressed by the article.

Married since 1971 to the same woman, Hilde, whom he met when she became an assistant to the Forum’s administration, Schwab was allegedly known internally to have a tendency to make inappropriate comments directed at the women he worked with, especially when he was alone with them.

Rather than threatening, Wall Street Journal sources describe Schwab’s behavior as “awkward,” but clearly inappropriate for someone of his status and responsibilities. Several women who worked directly with the World Economic Forum leader described recurring comments about their appearance, as well as other suggestive advances that, however, never escalated to physical advances.

One of the women who spoke to the newspaper accuses Schwab of having told her one day that she should wear a Hawaiian suit because he would like to see her body dressed like that. Another claims that Schwab told her that he wanted to “find her a man” and that, “if he wasn’t married,” he offered to “be that man.”

Contacted before the article was published, the World Economic Forum’s communications department completely rejected this and other accusations, stating that Klaus Schwab does not even know what a Hawaiian suit is.

In addition to sexual issues, The Wall Street Journal also describes the case of a woman hired in 2017 to lead a World Economic Forum initiative in the area of Opening. Shortly afterwards, the woman discovered that she was pregnant and went to Schwab’s office in Geneva to tell him. The reaction of the employers’ leader could not have been worse, according to the report: he was irritated by the revelation and because he considered that the woman, being pregnant – and, later, being the mother of a small child – could not keep up the pace of work that Schwab had imagined when he hired her.

According to the report, the woman was fired shortly afterwards, with the Forum dismissing this executive before the end of the trial period she had in her contract. And it was not a unique case: there were six other similar cases, involving women who became pregnant or returned from maternity leave.

Other cases of gender discrimination, sexual harassment and racism have been attributed to senior officials at the World Economic Forum, including some who have since left and others who remain in the structure despite the cases having been reported by the alleged victims.

Forum questioned news allegations, but created special commission

The Forum questioned the characterization of the events made by The Wall Street Journal before the publication of the story, and assured that the organization has zero tolerance for harassment or discrimination and responds appropriately to any complaint received.

But this is a defense that in no way corresponds to the truth, according to several former employees who even created a WhatsApp group where hundreds of people share their traumas. The group is called “Refugees“, a play on words with the acronym WEF (World Economic Forum) and the word refugeesof refugees.

Despite the negative reactions after the article was published. Several of the Forum’s business partners contacted the organization ask questions about what they read. These partners include pharmaceutical company Pfizer, Mastercard, Merck & Co., Danish company Velux and global real estate giant Jones Lang LaSalle (JLL).

In a statement on Friday, the World Economic Forum revealed to The Wall Street Journal that independent members of the board of directors will oversee an internal investigation, with the support of external lawyers, the law firm Covington & Burling, a specialist in this type of investigation.

“The commission will submit a report to the Board of Trustees [onde estão representadas as várias empresas parceiras] Once the review is completed”The Forum said. Thomas Buberl, chairman of the French insurance company AXA, will oversee the work of the commission.