Norfolk Southern CEO Alan Shaw Fired Because Of ‘Consensual Relationship’ With Legal Officer of Indian Origin

Norfolk Southern has terminated Chief Executive Officer (CEO) Alan Shaw and Chief Legal Officer Nabanita Nag following an investigation into a consensual relationship between the two.

The company’s board announced the decision on Wednesday, revealing that the probe found Shaw and Nag violated corporate policies. Shaw, who had been with the company for 30 years and became CEO in 2022, was replaced by Mark George, the former Chief Financial Officer, who also joins the board.

The Wall Street Journal previously reported Shaw’s expected departure, citing the board’s investigation into his alleged misconduct. The probe was initiated over the weekend after allegations surfaced about an inappropriate workplace relationship. Norfolk Southern declined further comment beyond its official statement, which confirmed the involvement of an external law firm in the investigation.

Shaw’s leadership had been backed by the board during Norfolk Southern’s 2023 derailment crisis in East Palestine, Ohio, and he had successfully fended off activist investors seeking to overhaul the company’s leadership. Shaw’s exit follows a pattern seen among high-profile corporate leaders, including former BP CEO Bernard Looney and McDonald’s Steve Easterbrook, who have been dismissed in recent years for failing to fully disclose personal relationships with colleagues.