BOARDROOM TAILS: Rooster idea is bad in many ways
Syndrome leads to bizarre rankings and huge salaries
Last month a UK-based remuneration consultancy declared Alan Clark, the former CEO of SABMiller, to be the "best-value" boss on the FTSE 100. Pearl Meyer, which describes itself as "the leader in executive compensation consulting" worked out that for every pound paid to Clark in the past four years, shareholders have received £5,984 in return. Is it any wonder we’re all a little cynical about executive remuneration and the enormous industry that has grown up around it? In financial 2016, the last year of SABMiller’s existence, Clark’s total pay fell 17% to £5.9m. But he was in charge of the brewer when Anheuser-Busch InBev forked out an eye-watering £79bn, equivalent to £45 a share, for it a few months ago. So Clark’s shareholders scored big time. Pearl Meyer acknowledges that the takeover did play a part in boosting the returns generated under Clark’s watch but doesn’t seem to think it was sufficient to rule him out of contention in their bizarre rankings.
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.