CHIEF executives in the FTSE 100 enjoyed a median pay rise of 10 per cent last year, according to research published today.
While bosses were granted an average rise in salary of just 2.5 per cent, cash bonuses alongside benefits in kind and expected share awards bumped up the total payouts to a median figure of £3.7m.
According to a survey by Manifest and MM&K, the rise was mainly due to an explosion in the use of deferred bonuses and long-term incentives, which have been encouraged by regulators in order to foster a longer-term views of performance among executives.
The jump compares to a one per cent rise for employees of FTSE 100 firms. Manifest, a proxy voting agency, said the figures highlight the need to empower non-executives when setting pay policies. Chief exec Sarah Wilson added: “Remuneration committees need more support from shareholders in order to control management’s requests for greater and greater rewards.”