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Trump responds to CEOs who have stepped down

August 15, 2017 By: Matt Brown

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Fallout from President Donald Trump’s reaction to violent, racial clashes in Virginia over the weekend continued in the business community with another resignation from a federal panel of executives that was created to advise him.

Following the departure of chief executives for Merck, Under Armour and Intel, the president of the Alliance for American Manufacturing stepped down Tuesday.

Scott Paul, in a tweet, said, “I’m resigning from the Manufacturing Jobs Initiative because it’s the right thing for me to do.”

Once an apolitical appointment, the job of providing advice to the U.S. president has become decidedly more political under Trump, who has responded to those who have stepped down this week.

For every CEO that drops out of the Manufacturing Council, I have many to take their place. Grandstanders should not have gone on. JOBS!

— Donald J. Trump (@realDonaldTrump) August 15, 2017

Merck CEO Kenneth Frazier, a highly respected businessman and one of only four African Americans to lead a Fortune 500 company today, was the first to tender his resignation Monday.

.@Merck Pharma is a leader in higher & higher drug prices while at the same time taking jobs out of the U.S. Bring jobs back & LOWER PRICES!

— Donald J. Trump (@realDonaldTrump) August 14, 2017

Then came resignations from Under Armour CEO Kevin Plank and then Intel CEO Brian Krzanich.

Austan Goolsbee, the former chief economist for President Barack Obama, said that the departures suggest that the president’s response to the violence in Charlottesville could alienate those who work for the companies, and those who buy the products and services that they sell.

“It’s certainly a sign that Trump’s more controversial stuff isn’t playing well with companies selling to middle America,” said Goolsbee, now a professor at the University of Chicago.

There had already been departures from two major councils created by the Trump administration that were tied to its policies.

Tesla CEO Elon Musk resigned from the manufacturing council in June, and two other advisory groups to the president, after the U.S. withdrawal from the Paris climate agreement. Walt Disney Co. Chairman and CEO Bob Iger resigned for the same reason from the President’s Strategic and Policy Forum.

The manufacturing jobs council had 28 members initially, but it has shrunk since it was formed earlier this year as executives retire, are replaced, or, as with Frazier, Musk, Plank, Paul and Krzanich, resign.

Already, there is a push on social media lobbying other executives to distance themselves from Trump, and resign.

So far, the majority of CEOs and business leaders that are sitting on the two major, federal panels, are condemning racism, but say they want to keep a seat at the table.

“Our commitment to diversity and inclusion is unwavering, and we will remain active champions for these efforts,” said a spokesman for Campbell Soup for CEO Denise Morrison. “We believe it continues to be important for Campbell to have a voice and provide input on matters that will affect our industry, our company and our employees in support of growth. Therefore, Ms. Morrison will remain on the President’s Manufacturing Jobs Initiative.”

Boeing CEO Dennis Builenburg also will remain.

The Associated Press contributed to this article.

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