PRESSURE was mounting on BT yesterday, after the struggling telecoms giant revealed that the former head of its loss-making Global Services division (BTGS) received a pay packet totalling &pound;2.85m in 2008.<br /><br />Ahead of the company&rsquo;s annual general meeting in July, shareholders said Francois Barrault&rsquo;s annual package &ndash; which included a &pound;1.59m termination pay off &ndash; was a &ldquo;payment for failure&rdquo;.<br /><br />&ldquo;Many shareholders will be dismayed,&rdquo; said UK Shareholder Association spokesperson Roger Lawson. &ldquo;Voting against their remuneration at the AGM is certainly something we could look at.&rdquo;<br /><br />Barrault resigned as chief executive of BTGS &ndash; which supplies telecoms services to the government and multinational companies &ndash; when it made the first of two profit warnings last October, admitting that a number of contracts were less profitable than expected.<br /><br />Earlier this month, BT confirmed the worst when it posted a fourth quarter&nbsp;pre-tax loss of &pound;1.28bn, on the back of a &pound;1.3bn write-down at BTGS, and said that it would axe 15,000 jobs this year, in addition to 15,000 last year.<br /><br />On top of the &pound;1.59m pay-off, Barrault received remuneration worth &pound;1.26m, including a retention bonus and relocation allowances.<br /><br />&ldquo;We were disappointed at&nbsp;having to make this payment,&rdquo; said a spokesperson for BT, &ldquo;but we had to honour our legal and contractual obligations.&rdquo;<br /><br />But investor advisory body PIRC said that shareholders deserve an explanation for why BT is &ldquo;spending any shareholder money compensating the head of an underperforming division for the loss of his job&rdquo;.<br /><br />Former BT chief executive Ben Verwaayen, who was at the helm when the loss-making contracts were signed, left the group with a &pound;700,000 payout and a &pound;300,000 bonus.<br /><br />BT&rsquo;s existing chief executive Ian Livingston earned &pound;1.2m in the year. He picked up a bonus of &pound;343,000 in shares, based on personal performance measures.<br /><br />BT&rsquo;s shares are trading more than 30 per cent lower than when the company floated at 130p in 1984.