More than a third of FTSE 100 chief executives missed out on pay rises this year, according to a PwC report out today.
This is up from a quarter of bosses whose pay did not get a lift in 2014. Of those who received a boost, the average increase was three per cent, taking average base salary to £891,000 this year.
The research shows that bonus arrangements are largely unchanged from 2014, and average payouts have stayed at 72 per cent of the maximum award available over the past three years.
Tom Gosling, executive pay partner at PwC, said the freeze on salaries and slow bonus growth “continues the trend of largely static executive pay levels in real terms since the financial crisis”.
“Pay has also become harder to earn, with longer holding periods and clawback,” he said. “But with the average FTSE 100 CEO earning in a year what several ordinary people might earn in a working lifetime, remuneration committees need to make sure that pay-outs are fully justified by performance to help rebuild trust in business.”
Today’s report follows data from think tank High Pay Centre last month which showed that average pay packages for FTSE 100 chief execs fell in real terms in 2014.