TEWKSBURY, Mass. — A war of words between the Market Basket board and suspended CEO Arthur T. Demoulas is heating up after two longtime executives were fired for alleged insubordination.
Joseph Schmidt, the director of operations, and Tom Gordon, the grocery director, were both terminated from their positions on Tuesday.
According to the Market Basket Board of Directors, both Schmidt and Gordon were fired for making false and derogatory remarks about the company and people associated with it, and inappropriate communications with colleagues.
The firings come months after the Tewksbury-based grocery chain placed Demoulas on paid leave over allegations that he considered leading a work stoppage that could upend the grocery giant’s 90 New England locations and over 30,000 workers.
Both Schmidt and Gordon were suspended with pay on May 28 following allegations that they encouraged those work disruptions.
The Market Basket Board of Directors say an internal investigation revealed that Schmidt and Gordon directly encouraged employees to defy their supervisors and slow down and disrupt operations at the grocery chain.
In a statement, Arthur T. Demoulas called the firings "among the worst decisions that could be made by this board."
Gordon has spent 50 years with Market Basket while Schmidt has been employed by the company for 39 years.
"They are men of integrity and honor and belong on the Market Basket team, and we will use all efforts to reverse this heartless and unwarranted decision," Demoulas said.
Demoulas remains on leave from the company.
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