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Latest NewsPay & benefitsPay structures

Non-executive pay reviews on the increase

by Georgina Fuller 12 Dec 2005
by Georgina Fuller 12 Dec 2005

Pay reviews for non-executive directors are becoming more common practice, research by human capital consultants Watson Wyatt has revealed.

More than 40% of the 100 companies questioned said they had reviewed their non-executive directors’ pay this year – a 26% increase since 2004, its Executive Reward Survey  found.

The average pay for a non-executive director was £42,500, with an average increase of 32%. The fee for a non-executive chairman of a FTSE 100 company was £275,000, with a 37% increase.

Damien Knight, executive reward consultant at Watson Wyatt, said: “The higher number of companies deciding to review non-executive pay this year is a clear response to their increasing responsibilities, work-loads and pressures.

“These are substantial increases, though for many it will have been the first review for three or four years,” he added.

 

 

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