As part of the recently announced reorganization at Whirlpool Corporation, company leaders have confirmed Executive Vice President and Chief Legal Officer Ava Harter has left the company.
On March 4, Whirlpool Corp. announced two rounds of layoffs in support of “a more simplified and focused business model as part of its ongoing portfolio transformation.”
A statement from Whirlpool Corporation pointed to a future state decentralized business model as part of the reasoning for Harter’s departure.
“The Executive Vice President and Chief Legal Officer position was re-scoped as a non-executive officer position as part of a global corporate reorganization. Subsequently, Ava Harter decided to leave Whirlpool Corporation and we have named Kyle De Jong as Senior Vice President and General Counsel.”
According to documents filed with the Securities and Exchange Commission, Whirlpool Corp. and Ms. Harter have entered into an agreement where the exiting executive will receive, “…a payment equal to $2,931,874, payable in two installments in March 2024 and March 2025, subject to Ms. Harter’s compliance with the Harter Agreement. In addition, Ms. Harter will be eligible to receive transition consulting benefits of $93,360 and $32,000 for COBRA/health insurance.”
According to the 8-K filing with the SEC, in exchange for the benefits, Ms. Harter agreed to customary restrictive covenants for 24 months following her separation from the company.
The SEC requires companies to file an 8-K to announce significant events relevant to shareholders.
The company said the first wave impacted people at the top layers of the organization and select areas of work – including changes to roles, work scopes, and in some cases elimination of positions. The second wave is said to focus on the rest of the organization and those changes will be shared no later than early May.
“Impacted employees will receive transition support, including a comprehensive severance compensation package and other services. While these are not easy choices, we know they are required to secure the long-term success of the company.”
