A day after he was grilled by Congress, BP chief executive Tony Hayward is being demoted. According to Britain's Sky News, BP Managing Director Bob Dudley will take over day-to-day oversight of the Gulf of Mexico oil spill while BP's chairman Carl-Henric Svanberg (he of the "small people" comment) will assume major PR duties. (Yes, you read that right--the BP executive who famously expressed his compassion for "the small people" will be tasked with enhancing the company's public image.)The main reason for the shift is plain enough for anyone who's been following the spill: BP executives acknowledge Hayward has blown it as the company's face during the crisis. Svanberg, while defending the BP CEO, acknowledged the Hayward's comments have not been helpful to the company's efforts to control fallout from the disaster.
"It is clear Tony has made remarks that have upset people," Svanberg tells Sky News. "This has now turned into a reputation matter, financial and political and that is why you will now see more of me."