Big miners pay CEOs top dollar
PwC report reveals spectacular share price declines in the past decade have not made any difference to trend
CEOs of large-cap basic resources companies are the highest paid among their peers, despite spectacular share price declines among stocks in this sector over the past decade. CEOs of JSE-listed large-cap basic resources companies received a median total guaranteed pay of R23m in 2016, with those in the upper quartile bagging R33.4m, a PwC report revealed on Thursday. This contrasted with CEOs of mid-cap and small-cap basic resources companies, who received median pay of R8m and R1.7m, respectively. The difference could be explained partly by the fact that large basic resources companies were generally dual listed and so the CEOs were paid in foreign currency, said Martin Hopkins, a partner at PwC. Still, the JSE’s mining index is down more than 24% over five years and more than 43% over 10 years, reflecting poor shareholder returns amid declining commodity prices, as well as a difficult political and economic environment for local mining companies. Shareholders and other stakeholder...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.