CEO bonuses get hiked, dropped, and docked

The CEOs of supermarkets, high street retailers, and banks have all had their bonuses affected by their performance – or under-performance.

CEO of Sainsbury’s Mike Coupe, who replaced Justin King last year, has failed to meet sales and profit targets for the supermarket chain. As a result, his pay from the year to March has dropped from £2million to £1.5million. He, alongside other senior directors, also missed out on receiving an annual bonus; however he was allowed £458,000 in deferred shares that will pay out in 2017.

Following on from a story earlier on this week, Morrisons’ shareholders are understandably unhappy about the pay deal their former CEO, Dalton Philips, has managed to secure since leaving the company in February.  Over a third of shareholders (35.6%) rejected the retailers supermarkets remuneration report at yesterday’s AGM. Philips will be receiving a £1million bonus on top of a salary of £850,000 alongside a £239,000 pension and a £1.1million pay-off.  

After foregoing a bonus for two years in a row, Marks and Spencer CEO Mark Bolland pocketed a £596,000 bonus on top of his annual salary of £975,000 for helping the company report its first rise in annual profits for four years. Steve Rowe, the Executive Director of Marks and Spencer’s fast-growing food division was also the recipient of an even larger bonus than Bolland, taking home £653,000.  Staff will also receive an undisclosed cash bonus.