The typical pay of FTSE 100 chief executives rose by some £700,000 to £3.9m previously monetary yr, based on new evaluation.
The rise was primarily pushed by a rise in annual bonus funds and pay is now “largely again to pre-pandemic ranges”, PriceWaterhouseCoopers (PwC ) mentioned.
It comes as employees in each the non-public and public sectors brace for below-inflation pay rises amid the price of dwelling disaster, with payments and mortgage prices rising.
Nurses are anticipated to exit on strike in a row over pay and circumstances and rail employees have taken industrial motion on a number of events this yr.
Common wage of FSTE 100 CEO climbs to £3.9m
(Getty Photos/iStockphoto)
In accordance with PwC, the skilled companies and accounting large which analysed FTSE CEO pay, the previous monetary yr additionally noticed a lower within the proportion of CEOs with wage freezes, down from 43 per cent in 2021 to fifteen per cent in 2022.
The bulk (58 per cent) obtained a proportion wage enhance for 2022 consistent with, or under, the workforce stage, whereas 38 per cent awarded a rise under that of the broader workforce.
Analysts on the agency mentioned common annual bonuses for 2021/22 elevated to 86 per cent of the utmost alternative, which was “above historic pre-covid ranges.”
The rise is partially pushed by a post-Covid increase in some sectors, and in some circumstances, because of efficiency targets that had been conservatively set in 2021 to mirror better market uncertainty.
Solely 5 per cent of FTSE 100 CEOs obtained no bonus for 2021/22, down from 22 per cent in 2020/2021, PwC mentioned.
Andrew Web page, govt compensation chief at PwC UK, mentioned: “The rise in govt pay and bonuses highlights that FTSE 100 corporations had been boosted by companies opening up and demand returning after the pandemic.
“Nonetheless, trying ahead to the 2023 AGM season, increased pay outcomes are prone to be met with better investor scrutiny, notably within the context of rising inflation and pay will increase throughout the workforce.”
