Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • 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
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • 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
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Latest NewsEquality, diversity and inclusionHR strategyPay & benefitsEqual pay

Pension payments for top UK directors to deliver £200,000-plus a year in retirement

by Louisa Peacock 2 Sep 2008
by Louisa Peacock 2 Sep 2008

Top bosses have amassed pension pots that average £3m each, providing an annual pension of more than £200,000, a survey has revealed.

Trade union body TUC has published its sixth annual PensionWatch study, which examines the pension arrangements of 346 directors from 102 of the UK’s top companies. The findings show that chiefs are set to earn a yearly pension of £201,700 – 25 times the average workplace pension that ordinary workers receive (£8,100).

Some directors have average pension funds of £5.2m – with an annual pension forecast of £333,400.

TUC general secretary Brendan Barber said: “As ordinary workers have their pension schemes closed and are expected to work for longer, the UK’s top bosses are avoiding this collective belt tightening and retaining their gold-plated pensions.

“Top bosses justify their lavish pay and pension arrangements on the risks they take and the rewards they deserve for success. But these credit crunch-busting retirement plans seem to exist in a different world from the economic squeeze that is affecting everyone else’s pensions.”

Three-quarters of the directors surveyed were on defined benefit schemes, with the majority retiring at 60. But the survey claimed a lack of transparency in the reporting of directors’ pension arrangements. Of the 19 financial sector companies analysed – 18 of which offered defined benefit schemes to at least one director – just four companies disclosed the accrual rate they use to calculate pension benefits.

The TUC is calling for greater clarity and reporting of pay, remuneration and pensions so that investors can better scrutinise the awards made to directors.

Barber added: “Many of the most lucrative pension arrangements are shrouded in secrecy, making it hard for investors to scrutinise them and ensure that bosses are accountable. If top directors can really justify their rewards they must be bolder in declaring their pay and pensions to investors and their staff.”

Avatar
Louisa Peacock

previous post
Free job evaluation guide from Acas to help employers avoid equal pay claims
next post
Dress and behaviour code bans colourful nails and personal mobile phone use at Norfolk Police

You may also like

‘It’s International HR Day – wait, you didn’t...

20 May 2022

Policeman dubbed ‘Dolly Parton’ for working Nine to...

20 May 2022

Adapt culture to hybrid work: do not force...

20 May 2022

Women in FTSE 350 leadership: ‘A lot of...

20 May 2022

City firms pledge to improve social mobility in...

20 May 2022

Squishy, flabby, foggy HR? Andrew Bartlow talks to...

20 May 2022

Movers and shakers May 2022: John Lewis and...

20 May 2022

City workers desert offices in favour of hybrid...

20 May 2022

Working from home statistics show three-fold increase

20 May 2022

Statutory sick pay reforms would save £4bn

19 May 2022
  • Apprenticeships are the solution to your recruitment problems PROMOTED | Apprenticeships have the pulling power...Read more
  • What it really means to be mentally fit PROMOTED | What is mental fitness...Read more
  • How music can help to ease anxiety at work PROMOTED | A lot has happened since March 2020, hasn’t it?...Read more
  • Why now is the time to plug the unhealthy gap PROMOTED | We’ve all heard the term ‘health is wealth’...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 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • 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
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+