Pru board’s perks revealed in their employment contracts

PRUDENTIAL chairman Harvey McGrath may have soaked up most of the pressure at yesterday’s annual general meeting, but at least he didn’t have to think about driving home.

The former head of Man Group is entitled to a chauffeur-driven car as one of his perks at the helm of Prudential’s board, according to contracts seen by City A.M. yesterday. McGrath’s terms of employment say the use of a manned vehicle “appropriate to your status will be made available to you”, on top of his £500,000 per year salary.

Although McGrath is entitled to health insurance for himself and his family, he has so far declined to use it. Chief executive Tidjane Thiam, in contrast, is covered – along with his wife and children – by PruHealth.

Asia boss Barry Stowe, who spends a large portion of his time working from Hong Kong, has an allowance for his children’s school fees and for trips back to the US. Stowe can claim some expenses in Hong Kong, although he has to pay for his personal international phone calls.

As previously reported, Thiam is in line for £2.7m in shares under Prudential’s incentivisation plan this year. Finance director Nic Nicandrou will get £1.1m of the insurer’s paper, while Rob Devey, head of Prudential UK, will receive £550,000.