Red Cross Gave Ousted Executive $780,000 Severance Package

The American Red Cross gave former CEO Marsha J. Evans a severance package valued at roughly $780,000 after she was ousted from the organization last year, the Washington Post reports.

According to Red Cross records, Evans, who had served since 2002, received eighteen months' severance and a $36,495 unpaid bonus when she abruptly resigned after months of squabbling with the organization's governing board. In early December, Evans and the board, which was unhappy with her management style, clashed a final time over her decision to remove several senior executives. Charles Connor, the organization's senior vice president for communications and marketing, said Evans's severance package was assembled "after extensive consultation with experts and outside consultants" on severance agreements for nonprofit organizations.

Bennett Weiner, chief operating officer of the BBB Wise Giving Alliance, said the size of the package was not unusual for a large charity like the Red Cross. Bernadine Healy, who was forced out as chief executive of the Red Cross in the fall of 2001 after two years on the job, received a $1.9 million salary and severance package. The Red Cross has had five acting or permanent heads in the past seven years and has paid out about $2.8 million in severance, deferred compensation, and bonuses to those executives, according to Red Cross records.

Jacqueline L. Salmon. "Red Cross Gave Ousted Executive $780,000 Deal." Washington Post 03/04/2006.