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The salary packages of main UK -based executives have increased faster this year than those of their American rivals such as British companies competitions to close the cheekbones.
Average salary in FTSE 100 companies reporting this year have increased 11 percent to $ 6.5 million, compared to an increase of 7.5 percent for US CEOs, according to ISS-Corporate data, a division of proxy advisers’ institutional shareholders. The data contains 320 S&P 500 companies that reported by April 21.
The average wage figure in the United Kingdom is compared to the US, where it is more than $ 16 million, on the right track to another high record, the ISS-Corporate said.
“It seems that the Big Business campaign and the finance lobby for the highest CEO Pay Awards Awards are persuading many shareholders,” said Luke Hildyard, director of the High Salary Center, a UK -centered thought. US salary culture contributed to “very wide economic inequality,” he said. “Do people really want in business and finance repeat it in the UK?”
For years, British PLCs have paid leaders to smaller stock rewards compared to the US, promoting anxiety for competition for London-listed companies. Now, FTSE companies are competing to capture rapid tracking bonus growth at annual meetings this year.
GSK Pharmaceutical Group has proposed to raise the possible salary of chief executive Emma Walmsley to $ 28.6 million a year if it achieves certain goals. The shareholders are expected to support the proposal at the annual meeting of the May 7 company. It was paid $ 15.3 million in 2024, the ISS data says.
Shareholders have already approved an increase in salaries for the US executive British tobacco Tadeu Maroco. It can get up to $ 24.1 million if the company increases its benefit and if its share price rises 50 percent for three years. He was paid $ 14.1 million in 2024, according to ISS.
Changes underline a relocation to provide larger packages of better performance and signal a change in mood among shareholders to support the most competitive reward for the UK -centered leaders.
The UK Investment Association, a trade group, last year calmed its stance on executive salary, giving companies more freedom to pay to pay their circumstances. In return, investors want to discover how companies compare their leaders’ salary to peers in other groups.
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In the US, the stock prices and options of the companies usually make up 70 percent of the salaries, the ISS said. Although CEO rewards usually include financial performance metrics, some prices pay even when the share price is down. CEO payment increased this year to 50 S&P 500 groups where the return of total shareholders was reduced last year, ISS said.
The pricing of the modern action, manufacturer of a Covid-19 vaccine, has been plunged to its lowest level since March 2020 as memories of the pandemia fade. However, the company gave capital rewards once to the main financial official James Mock and the main legal official shannon the Klinger’s breaks reaching $ 12 million each.
These special prices were paid “to keep and motivate these leading leaders, especially in the light of falling our stock price,” Modern said in regulatory records. The salary of the chief executive Stéphane Bancel also increased to $ 19.9 million from $ 17 million.
The Proxy Glass Lewis adviser has recommended that shareholders vote against the modern wage plan at the annual meeting of the company April 30.
Moderna did not respond to requests for comment.
Among the growing political tensions in the US this year, investors are unlikely to “rebelliously against (CEO) Pay,” said George Georgiev, a professor at the Emory University Law School. On Wednesday, Goldman Sachs’ shareholders approved $ 80m rewards for two leaders, despite the support fell to a low nine -year.
“Assets managers are in great condition and will get a great way,” Georgiev said.
