Unilever, Ben & Jerry's parent company, accused of removing CEO over politics
FILE - Ben and Jerry's ice cream (Photo by Kevin Dietsch/Getty Images)
Ben & Jerry’s, the popular Vermont-based ice cream brand known for its progressive politics, is suing its parent company Unilever over the firing of Ben & Jerry’s CEO.
A lawsuit filed by Ben & Jerry’s this week says London-based Unilever informed its board on March 3 that it is removing and replacing Ben & Jerry’s CEO David Stever. According to Ben & Jerry’s, Stever’s removal violates its merger agreement with Unilever, which stipulates that a CEO’s removal can only happen after consulting with an advisory committee from Ben & Jerry’s board.
Why is Ben & Jerry’s suing Unilever?
The backstory:
Unilever bought Ben & Jerry’s 25 years ago for $326 million. At the time, Ben & Jerry’s said the partnership would help the progressive Vermont-based ice cream company expand its social mission.
But in recent years, the merger has become fractured. In 2021, Ben & Jerry’s announced it would stop serving Israeli settlements in the occupied West Bank and contested east Jerusalem. The following year, Unilever sold its Israeli business to a local company that said it would sell Ben & Jerry’s under its Hebrew and Arabic name throughout Israel and the West Bank.
In November, Ben & Jerry’s sued Unilever in federal court in New York, accusing it of silencing Ben & Jerry’s statements in support of Palestinians in the Gaza war.
Netanyahu: Airstrikes on Gaza only the beginning
According to the Health Ministry for Hamas, more than 400 people have been killed and hundreds injured by Israeli air strikes on the Gaza Strip. And there seems to be no let up. Alex Traiman CEO of the Jewish News Syndicate weighs in.
RELATED: Israel strikes Gaza: What happened to the ceasefire?
In that lawsuit, Ben & Jerry’s said Unilever also refused to let the company release a social media post that identified issues it believed would be challenged during President Donald Trump’s second term, including minimum wages, universal health care, abortion and climate change.
Tuesday’s filing was an amendment to that lawsuit.
What’s next for Unilever and Ben & Jerry’s?
What's next:
Unilever says it’s planning to spin off its ice cream business — including Ben & Jerry’s — by the end of 2025 as part of a larger restructuring. Unilever also owns personal hygiene brands like Dove soap and food brands like Hellmann’s mayonnaise.
When Ben & Jerry's first filed the lawsuit against Unilever in November, Unilever said at the time that it rejected the claims and planned to "defend our case very strongly."
Unilever provided the following statement to LiveNow from FOX:
"In line with the terms of the acquisition agreement, decisions on the appointment, compensation and removal of the Ben & Jerry's CEO will be made by Unilever after good faith consultation and discussion with the B&J's Independent Board. Regrettably, despite repeated attempts to engage the Board and follow the correct process, we are disappointed that the confidentiality of an employee career conversation has been made public. We hope that the B&J Independent Board will engage as per the original, agreed process."
The Source: This report includes information from The Associated Press.