Johnson & Johnson has elevated two employees to a new “Office of the Chairman.” Alex Gorsky has been elevated to the role of Vice Chairman, Executive Committee. And Sheri McCoy has been elevated to the role of Vice Chairman, Executive Committee. Since William Weldon remains in hiding and seems completely incapable of doing anything to fix the mess he’s created, J&J thought he could use the help of Gorsky and McCoy. This is probably a solid strategy, although Weldon’s eventual departure can’t come soon enough.
Thanks to William Weldon, J&J is the worst performing company in the S&P 500. Since Weldon became CEO (and because of his leadership), J&J’s shares have dropped 1.5%. He has helped destroy millions of dollars in shareholder value.
Of course, Sheri McCoy shouldn’t get too excited about her new promotion (and she shouldn’t get too settled in her role – I might recommend that she not even unpack her boxes). J&J’s manhandling of female executives is legendary. J&J has a long history of using female executives as scapegoats. Given the dual promotions of Gorsky and McCoy, I’m guessing that Alex Gorsky will eventually replace Weldon and J&J will hang all the blame on McCoy.