Bid to keep Turner at IOOF knocked back
Moves by a number ofWinchcombe Carsonplanners to getIOOFmanaging director Rob Turner’s contract extended were rebuffed by chairman Ray Schoer at the group’s annual general meeting yesterday.
The planners had written to the board and the letters were considered at a special board meeting however Schoer admitted Turner’s departure was not voluntary and the board had made the decision for commercial reasons.
“The board met to discuss the letter and unanimously agreed not to extend Mr Turner's contract beyond June next year,” he says.
“The reason why we are not extending his contract is because the listed company will be a fund manager and we are looking for someone with experience in funds management,” Schoer says.
Schoer says the new appointee will probably come from Melbourne as he sees “a lot of executive talent here”.
IOOF is now going to list on December 5, however, the new managing director will not have been selected by then.
Schoer says a recruitment firm has only just been given the brief to find a new managing director and the person won’t start much before Easter next year.
However,Money Managementunderstands an informal search has been undertaken since October this year.
A number of planners put questions to Schoer at the meeting, praising Turner, and attacking the board’s decision to get rid of the current managing director.
Questions were also raised about the experience of the new potential managing director in a fund manager organisation.
Schoer pointed out there was a team of management at IOOF with many years’ expertise and the company would not collapse just because Turner left.
However, despite the moves to change managing directors Schoer was fulsome with his praise for Turner and his achievements during the past seven years.
“Mr Turner has done a lot for IOOF and it was his decision to take us into funds management. There has been strong support for Rob from financial planners and he had a good relationship with them,” he says.
Turner admitted at the meeting that leaving IOOF was going to be difficult.
“It is an emotional thing leaving a company which you have been part of for seven years. You do feel a tug at the heart strings,” he says.
Turner says he will probably take long holiday when he finally leaves IOOF next year, but will be looking for an executive role subsequently.
Schoer says Turner will be involved in the handover of the business to the new managing director. In the meantime, he will help Schoer patch up his differences with the Winchcombe planners.
“I will go and talk to these planners and hopefully with Rob as well,” he says. “I think Rob will be very professional about this and about the handover.”
Schoer admitted he hasn’t discussed with Turner the financial package for leaving the company.
Recommended for you
AFCA has confirmed United Global Capital’s membership of the body will not be extended to accept further complaints, avoiding a repeat of the Dixon Advisory scenario.
Three of Australia’s largest financial advice groups have shared their thoughts with Money Management on whether they would include crypto on their approved product lists.
Shadow treasurer Angus Taylor has vowed to introduce a bill to legislate a raft of financial services reforms if the Coalition is elected.
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
