Pay rises for company executives are showing signs of “cooling off”, although a minority are continuing to receive substantial increases, according to a report out today.
Earnings growth slowed in the past year to a median of 8.5 per cent, lower than a similar study last October, research by Incomes Data Services (IDS) among chief executives in the FTSE 100 showed. Bonus pay fell by 2 per cent to some £670,000.
Steve Tatton of IDS said: “Remuneration committee members have now realised that their decisions will be scrutinised very closely by shareholders and the media. No longer, it appears, do remuneration committees have a free hand, in the words of some, ‘to pay themselves what they wish’.”