Chief executives get 2% rise on basic pay


The median increase to base salaries for FTSE 100 chief executive officers in 2016-17 was 2%, according to research by Fit Remuneration Consultants.


Its FTSE 100 directors’ remuneration report, which is based on data collected from FTSE 100 organisations’ annual reports and accounts with a year end up to and including 31 December 2016, also found that the median (midpoint) salary for a chief executives at a FTSE 100 organisation was £855,000 for 2016-17, compared to £850,000 in 2015-16.


The median base salary for finance directors increased by 2.5% from £533,000 in 2015-16 to £544,000 in 2016-17.


The study says that 32% of chief executives in the FTSE 100 did not receive a base salary increase, compared to 23% of finance directors.


Median annual bonuses for FTSE 100 chief executives decreased from £1,093,000 in 2015-16 to £1,057,000 in 2016-17. 


Looking at the single figure total remuneration declarations in remuneration reports, the median was £3,543,000 for FTSE 100 chief executives in 2016, compared to £4,404,000 in 2015-16. For chief executives with a service of three years or more, this figure fell from £4,539,000 in 2015-16 to £3,737,000 in 2016-17 on a median basis.


The single figure total, which Fact Service uses in its regular executive pay briefings, includes salary, taxable benefits, pension, annual bonus paid, long-term incentive plan vestings, and any other form of remuneration received during the year.


www.employeebenefits.co.uk/issues/july-online-2017/median-base-salaries-ftse-100-chief-executive-officers-increase