PracticePeople In PracticeExecutive pay jumps 6.5%

Executive pay jumps 6.5%

Deloitte report into executive pay reveals slower rate of increase, but more performance-related income

FTSE350 executives saw their basic pay rise by 6.5% in 2005, a drop from a
7.1% increase in 2004, according to a new report from Deloitte.

The drop in the rate of increase was accompanied by an increase in the
amounts available in performance-related pay. The maximum bonus available to
executives from the Top 30 companies has increased from 125% to 150% of salary.

‘The rise in bonus levels has been accompanied by an increase in the
introduction of a deferred element in these plans. Deferred annual incentive
plans are now in place in 61% of FTSE100 companies and 44% of FTSE250 companies,
compared to 56% and 34% two years ago,’ said Carol Arrowsmith, partner and
remuneration specialist at Deloitte.

Share options, which have to be accounted for under IFRS in the profit and
loss account, are out of fashion, with performance share plans taking their
place, said Deloitte.

Related Articles

Moore Stephens appoints three new partners

People In Practice Moore Stephens appoints three new partners

4d Emma Smith, Managing Editor
Mental Health Awareness Week: How organisations can help ensure good employee wellbeing

People In Practice Mental Health Awareness Week: How organisations can help ensure good employee wellbeing

2w Reafad Rahman
Mental Health Awareness Week 2018

People In Business Mental Health Awareness Week 2018

2w Accountancy Age, Reporters
Accountancy Age 35 under 35 2018 – last chance to enter!

People In Business Accountancy Age 35 under 35 2018 – last chance to enter!

2w Emma Smith, Managing Editor
Women in Finance: is the future of finance female?

People In Business Women in Finance: is the future of finance female?

2w Emma Smith, Managing Editor
Mazars announces two partner appointments, increased fee income growth

People In Practice Mazars announces two partner appointments, increased fee income growth

1m Emma Smith, Managing Editor
British Accountancy Awards 2018 – entries open!

Accounting Firms British Accountancy Awards 2018 – entries open!

1m Emma Smith, Managing Editor
RSM appoints two new regional managing partners

People In Practice RSM appoints two new regional managing partners

1m Alia Shoaib, Reporter