TAB boss Adam Rytenskild’s shock resignation amid foul language claim about female racing figure

Tabcorp managing director and CEO Adam Rytenskild has quit after being pulled up for using “inappropriate and offensive language” at work when referring to a female racing figure.

Adam Rytenskild has sensationally quit his TAB CEO role amid bad language claims. News Corp

Tabcorp managing director and chief executive officer Adam Rytenskild has quit after being pulled up for using “inappropriate and offensive language” at work when referring to a female racing figure.

It is understood the remark was highly offensive and sexual in nature, and was referring to a high profile woman in racing who was not in the room at the time. The Daily Telegraph has chosen not to publish the remark.

An announcement to the Australian Stock Exchange said the board considered the language “to be inconsistent with Mr Rytenskild’s continued leadership” of the betting behemoth.

Following an urgent meeting with the board on Wednesday Mr Rytenskild tendered his resignation and stepped down immediately.

He will only receive his termination payments and will forfeit any bonuses.

Mr Rytenskild said he doesn’t recall making the alleged comment. Picture: Luis Enrique Ascui

Tabcorp chairman Bruce Akhurst took on additional duties while a search for a new managing director and chief executive gotunderway.

“The Board regrets that Mr Rytenskild’s employment has ended in this way and acknowledges his commitment to Tabcorp’s growth over more than two decades, including the last two years as MD and CEO and his contribution to the transformation of the company,” he said.

Mr Rytenskild said he could not remember making the comments that led to his unexpected departure from the company he first joined in 2000.

“I don’t recall making the alleged comment and it’s not language I would usually use, but I have regrettably agreed to resign.

“Tabcorp has been an enormous part of my life for many years and I believe in the journey the company is on,” he said.

In 2022 Tabcorp demerged from the lottery business — now known as The Lottery Corporation — in a move that saw Tabcorp’s share price plummet by 80 per cent.. Picture: NCA NewsWire/Joel Carrett

Mr Rytenskild was appointed in June 2022, and was in the position for almost two years, on a yearly salary of more than $2m.

He also owns $3.36m worth of shares.

His resignation has cost him up to $10m in unvested shares and options

In October 2023, 35 per cent of shareholders voted against the remuneration report in the first protest vote since 2018.

Chair Mr Akhurst defended the whopping pay packet of Mr Rytenskild, which was higher than the average for an ASX 200 company despite its plummeting fortunes.

Mr Rytenskild, who now lives on Sydney’s leafy north shore, did not finish university and began flipping burgers aged 19 to support his young family.

“I started on the forecourt and flipping burgers at South Tweed Heads Mobil and worked my way up from there,” Mr Rytenskild said on getting the top job.

In May 2022 Tabcorp demerged from the cash cow lottery business — now known as The Lottery Corporation — in a move that saw Tabcorp’s share price plummet by 80 per cent.

Tabcorp was valued at $3.5bn when it demerged from its lottery arm and backed Mr Rytenskild’s vision as the new CEO to take on the mobile betting apps.

Before the demerger UK based Entain, the owner of Ladbrokes, offered $3.5bn for the wagering division which includesthe TAB betting shops and online brands.

The offer was knocked back and Entain told Tabcorp bosses: “Our next offer will be $2bn.”

That would have been generous with the current value sitting at $1.74bn.

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