Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

CoronavirusBonusesCompensationLatest NewsExecutive pay

One in four FTSE 100 bosses has taken a pay cut

by Jo Faragher 15 Apr 2020
by Jo Faragher 15 Apr 2020 Steve Parsons/PA Wire/PA Images
Steve Parsons/PA Wire/PA Images

One in four bosses of FTSE 100 companies has taken a pay cut during the coronavirus crisis, according to research by the High Pay Centre and PA News Agency.

Most of the 25 chief executives who have reduced their pay during the pandemic have done so by 20%, echoing the proportion of pay that workers miss out on if they are placed on the government’s Coronavirus Job Retention Scheme.

Some bosses have taken even bigger cuts, however. Andy Ransom, chief executive of Rentokil, has slashed his salary by 35%, donating the rest of his usual salary to an employee fund.

Eleven companies, including Centrica, HSBC, Lloyds and ITV, have scrapped bonuses and/or long-term incentive plans for senior executives.

Only one company in the FTSE 100 – Premier Inn owner Whitbread – has not yet announced any plans to reduce pay despite announcing that it will apply to the government’s furlough scheme for its workers. Whitbread said the issue would be discussed at its remuneration committee later this month.

Primark owner Associated British Foods and EasyJet have both been criticised for still paying out dividends to shareholders while furloughing thousands of workers.

Nine of the FTSE 100 have cancelled or suspended dividends, but have not yet cut executive pay. Car sales platform Auto Trader recently announced to shareholders that it would furlough staff but has not confirmed if it would slash dividends.

The High Pay Centre has identified 11 FTSE 100 companies that plan to use the job retention scheme, but said this figure would be likely to grow in the coming weeks. Those employers are Associated British Foods, Auto Trader, Centrica, easyJet, International Airlines Group, Melrose, Next, Rentokil, Taylor Wimpey, Whitbread and – most recently – Rolls Royce.

Luke Hildyard, director of the High Pay Centre, said: “With the economy facing great uncertainty, and people’s jobs and livelihoods, as well as a considerable amount of public money, now at stake, it’s vital that companies make savings.

“Very high pay for top earners, who can easily afford a pay cut while still maintaining a lifestyle beyond the wildest dreams of most people, is the obvious place to start.

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

“Our figures show that some companies are taking meaningful action in this respect by cancelling bonuses and incentive plans, or making donations to employee funds or the NHS. Too many, however, are making token gestures or doing nothing at all.”

Latest HR job opportunities on Personnel Today

Browse more human resources jobs

Jo Faragher

Jo Faragher has been an employment and business journalist for 20 years. She regularly contributes to Personnel Today and writes features for a number of national business and membership magazines. Jo is also the author of 'Good Work, Great Technology', published in 2022 by Clink Street Publishing, charting the relationship between effective workplace technology and productive and happy employees. She won the Willis Towers Watson HR journalist of the year award in 2015 and has been highly commended twice.

previous post
Gay engineer awarded £175k for ‘nightmare’ treatment after coming out
next post
Furlough scheme eligibility date changed to 19 March

You may also like

Restaurant tips should be included in holiday pay

21 May 2025

Fewer workers would comply with a return-to-office mandate

21 May 2025

Redefining leadership: From competence to inclusion

21 May 2025

Pay awards in real terms could fall for...

21 May 2025

Ryanair demands flight attendants pay back salary increase

21 May 2025

Consultation launched after Supreme Court ‘sex’ ruling

20 May 2025

Uncertainty over law hampering legal use of medical...

20 May 2025

Black security manager awarded £360k after decade of...

20 May 2025

Employers ‘worryingly’ ignorant about stress risk assessments

20 May 2025

UK and EU agree to collaborate on ‘youth...

19 May 2025

  • 2025 Employee Communications Report PROMOTED | HR and leadership...Read more
  • The Majority of Employees Have Their Eyes on Their Next Move PROMOTED | A staggering 65%...Read more
  • Prioritising performance management: Strategies for success (webinar) WEBINAR | In today’s fast-paced...Read more
  • Self-Leadership: The Key to Successful Organisations PROMOTED | Eletive is helping businesses...Read more
  • Retaining Female Talent: Four Ways to Reduce Workplace Drop Out PROMOTED | International Women’s Day...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+