Latest news with #paypackage
The Guardian
5 days ago
- Business
- The Guardian
Nationwide boss's £7m pay package is an ‘obscenity', says member of mutual
A £7m pay package for the Nationwide chief executive, Debbie Crosbie, has been labelled an 'obscenity' and hypocritical by members of the mutual, even as it gained approval at the building society's AGM on Friday. Concerned members who tuned into the online-only meeting on Friday morning criticised the board's plan to increase Crosbie's maximum payout by 43%, saying the move was out of touch and did not align with the mutual's principles. One member, Ms Andrews, said: 'No one needs to earn more than £1m in salary, and certainly not £7m.' Another member, Mr Fisher, asked 'Does the CEO see both the irony and the hypocrisy of the size of her bonus: an amount in one year that most people would struggle to spend in a lifetime?' Meanwhile, a member identified as Dr Standon said that Nationwide already had the option of paying Crosbie up to £4.8m, and that pushing that figure to £7m was 'an obscenity'. 'One would expect Nationwide to set an example to others,' she said. Nationwide argued that Crosbie's pay rises reflected new demands after its £2.9bn takeover of Virgin Money, and its remuneration should be close to packages offered by rivals including Lloyds Banking Group and NatWest. 'We pay more than most building societies, but then again, we are larger,' the head of Nationwide's remuneration committee, Tracey Graham, said. 'We are five times larger than Coventry, we are more complex, and we are more important to the UK economy than other building societies … We are now the second largest mortgage lender and savings provider in the UK, and yet we pay less than compared to the high street banks. 'Our job is to ensure that we have the very best leaders here at Nationwide, and we do operate in a competitive marketplace. That is what we need to pay them, for us to believe that we are paying them equally or fairly.' Standon acknowledged that Nationwide had done 'lots of good things for members … and it's commendable that you followed through on the principles behind mutuality by not prioritising profit'. But she said that while the building society claimed to value people over profits, its justification for the rise 'suggests that unfortunately, your executive team are primarily motivated by money'. 'If they do leave purely because of the money, then, is it not the case that they were not in line with Nationwide principles in the first place?' Standon asked. The Nationwide chair, Kevin Parry, defended the building society's bosses saying: 'I don't think that money is the primary motivation … I'm very confident in saying this is not about personal greed. This is about equity with people that do similar jobs elsewhere.' Members ultimately gave the green light to the pay policy, and 627,982, or 94.8%, voted in favour. Nationwide said 34,492 members, accounting for 5.2% of voters, rejected the new pay package. Nationwide's board was criticised by one member over the fact that members were not given a binding votes. Parry, confirmed that while votes to re-elect board members are binding – meaning members have a final say – Nationwide is not required to hold binding votes on pay under building society rules. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion The board was also forced to admit during the livestreamed AGM that a £316m accounting error was missed by the building society and its auditor EY, and only came to light as a result of one of its eagle-eyed members, Mr Dugan. Nationwide explained that while it did force the building society to correct its 2024 results, the mistake related to the way it had deducted expenses from its income, but did not affect profitability. Dugan pushed the matter, saying the error was six times larger than the £55m threshold at which errors are deemed material, meaning the point at which they could end up influencing business decisions. He asked why Nationwide was willing to reappoint EY on that basis. 'We were very grateful last year when you identified the issue,' the chair of Nationwide's audit committee, Phil Rivett, said during the AGM. However, he said the society was still 'very satisfied with the quality of the work they [EY] do, and the challenge that they provide to management on accounting judgments and issues.'
South China Morning Post
22-07-2025
- Business
- South China Morning Post
George Hongchoy steps down as CEO of Hong Kong's Link Asset Management
George Hongchoy Kwok-lung has announced his sudden retirement as CEO of Hong Kong-based Link Asset Management, ending a 16-year tenure amid controversy over his pay package and recent layoffs. Advertisement Hongchoy, 63, would ensure a smooth transition at Link, which manages Asia's largest real estate investment trust, as it sought his successor, the company said early on Tuesday, hours ahead of its annual shareholder meeting. Earlier this month, Link laid off staff members in what it described as 'streamlining a small number of roles and positions', without specifying the number of jobs lost. But, according to the company's latest annual report, Hongchoy took home HK$70.42 million (US$9 million) remuneration in the financial year that ended on March 31, though it was 9.8 per cent lower than a year ago. He remained one of the highest-paid CEOs in Hong Kong-listed companies. Advertisement He still holds 3.86 million shares granted to him by the company between 2021 and the end of March this year. The shares are valued at HK$167 million based on the share price of HK$43.25 as of Tuesday morning. Hongchoy is expected to meet the press after the annual meeting at around lunch time on Tuesday.
Daily Mail
17-07-2025
- Business
- Daily Mail
Home Office's top civil servant received £20K performance-related bonus in his £455K pay package as number of small boat arrivals spiralled
The Home Office 's top civil servant received a £455,000 pay package including a £20,000 bonus as small boat arrivals spiralled. On top of his £200,000 annual salary Sir Matthew Rycroft received a £50,000 'exit payment' – of which £30,000 was tax-free – when he stepped down as permanent secretary at the end of March. The Home Office's annual accounts – which set out sums in £5,000 brackets – showed the mandarin received a performance-related bonus payment of £20,000 to £25,000. It was significantly higher than his £5,000 to £10,000 bonus the previous year. From the start of the financial year covered by the report to the date of Sir Matthew's departure on March 28, official figures show 38,023 small boat migrants reached Britain. It was a rise of 26 per cent on the 30,288 who arrived in the equivalent period in 2023-24. Sir Matthew also received £179,000 in pension benefits for the year. It brought his total remuneration package to £455,000 to £460,000. Sir Matthew, now 57, announced in February to staff he was leaving the Home Office 'for pastures new'. One migrant was pictured jumping off an overloaded dinghy - for unknown reasons - as it set off from Gravelines beach He was knighted in the 2023 New Year's Honours List for 'services to British diplomacy, development and domestic policy'. At the time, some senior political figures expressed surprise at the gong. In all, senior Home Office civil servants received bonuses totalling between £80,000 and £120,000 last year. Director General of the Border Force Phil Douglas received a total package of £275,000 to £280,000, the report showed. He, too, was paid a £10,000 to £15,000 bonus on top of his £145,000 to £150,000 salary, plus pension contributions. Dan Hobbs, the Director General of Migration and Borders, received a bonus of up to £5,000 on top of his £130,000 to £135,000 salary, bringing his total package to £265,000 to £270,000, including £128,000 in pension benefits. Border Security Commander Martin Hewitt, a former chief constable, is on £200,000 to £205,000 a year, the report confirmed. Second permanent secretary Simon Ridley was paid £170,000 to £175,000, plus £82,000 in pension benefits. The accounts, published today set out how civil servant's bonuses are performance-related. 'Bonuses are based on performance levels attained and are made as part of the appraisal process,' it said. In November 2023 MPs were left exasperated at the lack of detail Sir Matthew was able to provide about the cost of the Rwanda asylum scheme, which was then in development. Following a series of exchanges where Sir Matthew and his second-in-command Simon Ridley were unable to answer questions, committee chairman Dame Diana Johnson asked: 'Do we have any figures about anything?' Dame Diana is now a Home Office minister, and overlapped at the department with Sir Matthew from last July's election until his departure. The figures came as migrants were seen sprinting across a French beach to reach a dinghy. In scenes reminiscent of the opening sequence of Oscar-winning 1981 movie Chariots of Fire, the migrants ran through surf on the beach at Gravelines, near Calais, this morning. Several hundred migrants are thought to have reached Britain today. Since Labour came to power 45,746 have arrived, not including today's unconfirmed number.
Globe and Mail
04-06-2025
- Business
- Globe and Mail
UnitedHealth (UNH) Shareholders Approve CEO's $60M Stock Award amid Uncertainty
UnitedHealth (UNH) shareholders have approved a substantial pay package for returning CEO Stephen Hemsley. The approval comes as the healthcare giant faces multiple crises, such as regulatory probes, rising medical costs, and a stock price that has plunged 40% this year. The move signals shareholders' confidence in Hemsley's leadership. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter The pay package includes a $1 million annual salary and a $60 million stock option award, which will vest over three years. It must be noted that the approval came despite a warning from investor advisory group Institutional Shareholder Services (ISS) last month. ISS advised to vote against the pay package, saying it raises concerns because the bonus is not tied to company goals. Leadership Change at UnitedHealth In a brief background, Hemsley took over from Andrew Witty, who led UNH for four years before stepping down. The company faces several challenges during this change. In December, Brian Thompson, head of the company's insurance branch, was killed in midtown Manhattan. Adding to the company's woes, shareholders filed a lawsuit last month alleging that UNH hid how Thompson's death hurt its business. The lawsuit claims UnitedHealth misled investors by changing its claims strategy without warning about lower profits. Further, UNH is reportedly under investigation by the Department of Justice for potential criminal Medicare fraud, according to The Wall Street Journal. Hemsley Pledges to Rebuild Trust Speaking at the annual shareholder meeting, Hemsley acknowledged the company's recent missteps, promising to restore investor trust and conduct a review of UnitedHealth's policies. Hemsley said that UNH underestimated both the volume and the cost of medical care that patients would require. He added that the company is updating its estimates and has adjusted its bids for Medicare Advantage plans. What Is the Future of UNH Stock? Turning to Wall Street, UNH stock has a Moderate Buy consensus rating based on 19 Buys, six Holds, and one Sell assigned in the last three months. At $377.77, the average UnitedHealth stock price target implies a 23.97% upside potential. See more UNH analyst ratings Disclaimer & Disclosure Report an Issue
Wall Street Journal
15-05-2025
- Business
- Wall Street Journal
UnitedHealth's Returning CEO to Get $61 Million Pay Package
New UnitedHealth Chief Executive Stephen Hemsley will get a pay package worth $61 million, mostly in stock options that vest after three years, and which he could keep even if he steps down or is terminated sooner. The UnitedHealth chairman and former CEO returned to the top job Tuesday, replacing Andrew Witty at the helm of the healthcare giant he helped build. Hemsley led UnitedHealth for more than a decade, stepping aside in 2017, and took on the role of chairman after that.
