Internet execs the fattest of all fat cats
Gives a whole new meaning to the Christmas bonus
A survey of boardroom financial rewards has shown that execs heading companies involved in the Internet economy are out-earning traditional company execs such as pharmaceuticals, utilities, retail etc.
The Guardian-Inbucon survey showed that the pay increase is due mostly to share price increases and the associated pay structures built around them by the top execs. The two top earning execs are both from Vodafone Airtouch: Arun Sarin made over £21 million on a salary of £391,000 and Mohan Gyani made £16 million on £143,000. The remainder was made up of "bonuses".
Vodafone also threw up the third-biggest earning finance director in the form of Ken Hydon - a cool £2 million. Other new economy fat cat companies include Energis and Sage. Energis heads the FD league (Chris Hibbert, £4 million on £217,500) and comes second in chief executive pay (Mike Grabiner, £11.5 million on £381,250). Sage comes eighth in FDs (£1.2 million) and third in chief execs (£6.6 million). And Colt Telecom chief exec Paul Chisholm tops the list by earning £15 million last year.
Don't know about you but these ludicrous "bonuses" agreed upon and voted for by the very people receiving them tend to make us feel a little sick. Aside from the fact that they are a complete stitch up, we feel that a worthwhile exec bonus would be based on success above and beyond expected share price rises. And while we're there, how come is it that "performance-related bonuses" only work one way? Does this not seem a little illogical?
That aside, we are sure that all of them provide excellent value for money. The Reg isn't sure that paying one of them £46,000 for a single day's consultancy would really be in our interests though. ®