Standard Life chief sorry for race blunder

A LEADING figure at pensions giant Standard Life today apologised after making a racist remark at a staff meeting.

Trevor Matthews, chief executive of the firm's life and pensions arm, was forced to say sorry after he used the phrase "nigger in the woodpile" to around 100 people.

A formal complaint has been lodged with Standard Life from an employee following the remark, which was made at a meeting to discuss changes to the staff pension scheme.

Mr Matthews, 54, was asked why proposed cuts to pensions had been buried on page 126 of a report.

He replied: "That's the nigger in the woodpile."

Mr Matthews, who joined Standard Life in 2004, today described the remark as a "terrible mistake" and issued an apology.

A member of staff who was at the meeting, but did not want to be identified, said: "The meeting was attended by easily 100 people and was taken by chief executive Trevor Matthews to run over the changes taking place with our staff pension scheme.

"Trevor used the phrase 'nigger in the woodpile' which I, and several of my colleagues, found extremely offensive and unpleasant. He was clearly heard by everyone I spoke to who was present, probably about ten or 12 people, and offered no apology - just sailed on with his speech."

Willie Gibson, regional financial officer at Amicus, said: "Remarks of that nature are not welcome in any walk of life, let alone at presentations of an insurance company. Amicus does not tolerate any form of racism."

Mr Matthews said he was intending to apologise to everyone who attended the meeting, which took place in Standard Life's Conference Square building on Monday, and also the member of staff who made the complaint about his comment.

He said: "It was a terrible mistake by me. I am very upset about it and I deeply apologise.

"It was a phrase that was common in my childhood, I don't know how it slipped out, and as soon as it did I was sorry.

"Anyone who knows me knows I am certainly not a racist, I am completely the opposite. I believe in the equality of the human spirit. I have never said it before in a public forum and I will certainly never say it again."

He is also expected to apologise about the incident in his weekly e-mail to staff issued today.

The member of staff said Mr Matthews' remark had been particularly badly timed in light of the racism row that has engulfed Channel 4 following comments on Big Brother and Shipwrecked.

The staff member said: "I think we know from recent events how intolerable and unacceptable racism is in any form."

Mr Matthews joined Standard Life from life insurance firm Manulife's base in Japan. He is viewed by many in the business world as favourite to succeed Standard Life's current group chief executive Sandy Crombie.

Monday's meeting was to discuss plans to switch staff from a pensions scheme based on their final salary at retirement to one based on the average salary over their career.

The comment comes 18 months after the Australian was tricked into quoting a phrase from Adolf Hitler's "Mein Kampf" in an e-mail to colleagues.

Mr Matthews is understood to invite his staff to submit philosophical or famous quotes for his weekly e-mail, but was caught out in 2005.

An employee who was leaving Standard Life sent him a quote from Mein Kampf but told him it was from a famous religious leader. Mr Matthews included the phrase, which has not been revealed, in his e-mail before later realising where the quote had come from. However, the firm said today an employee had tricked him into using the quote.