Scandal 55% Rise For Directors
Thursday 28th October 2010
55% RISE IN DIRECTORS PAY IS SCANDALOUS AS WORKERS
SUFFER REAL CUTS IN THEIR
PAY AND TO THEIR
SERVICES
GMB members are publicly challenge Vince Cable and
George Osborne "put your money where your mouth is" on boardroom
greed
GMB responded to a new report from Incomes Data Services shows
that FTSE-100 bosses saw earnings rise 55% in the year the June
2010 which appeared today in national media.
According to the report FTSE-100 directors saw their total
earnings boosted by an average of 55%. Across the FTSE 350 as a
whole total board pay went up by an average 45%, according to the
latest Directors Pay Report, published by Incomes Data Services.
(Year to June 2010)
On the back of these increases FTSE 100 chief executives took
home £4.9 million on average in total earnings during the year.
The report shows there has been a dramatic reversal in fortunes
in the last 12 months. While basic salary increases across the
board were subdued, growing at just 3.6% for FTSE-100 chief
executives, pay packages were boosted by a resurgence in bonus
payments, the value of share option gains and separate long-term
incentive plans (LTIPs). The LTIP total payment pot across all
FTSE-350 directors soared by 73%, from £150m to £259m. Paper
profits on exercised share options for the FTSE-350 nearly doubled
this year, up from a total gain of £95 million to £183 million
While the FTSE-100 rose 14.5% on the year, bonuses were up by
over a third, share option gains by over 90% and LTIPs by over 70%.
Despite the increasing scrutiny of shareholders, FTSE-100 chief
executives received bonus payments averaging £701,512, up 34% from
last year (based on a matched sample) according to the report.
Paul Kenny GMB General Secretary said "Boardroom greed
is alive and well under this Tory – Liberal Government. This is
scandalous at a time when workers up and down the land are
suffering real cuts in their pay and to their
services.
These people have no shame. Let us not forget that these
are the same people urging the Government to make deep cuts in jobs
and services and in the welfare on which the poorest in our society
rely.
GMB members are publicly challenging Vince Cable and
George Osborne to "put your money where your mouth is"
> on boardroom greed."
End
Contact: GMB Press Office Rose Conroy on 07974
251 823 or Steve Pryle on 07921 289 880