Lonmin’s Ben Magara declines pay rise for second consecutive year
Lonmin CEO Ben Magara declined a salary increase in the year to September for the second year in a row although the platinum mining group turned from an underlying loss of $134m in 2015 to a profit of $7m after a rights issue and a restructuring. Executive remuneration is a sore point around the world, but particularly in SA’s mining industry because of the huge gap between top management’s earnings and those of the lowest paid unskilled workers. Although his basic salary was flat, Magara’s total remuneration rose significantly because of the vesting of retention awards granted when he was appointed in 2013, some of which were deferred. Chairman of Lonmin’s remuneration committee Jim Sutcliffe said, in the group’s annual report released on Thursday, that the committee was prepared to award him an annual salary increase of 2%, partly to take inflation into account since his salary was last changed. However, Magara had waived the increase. Magara is paid in pounds sterling. His basic ...
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.