More than 100 directors of FTSE 100 companies are entitled to a pension worth at least £200,000 a year, research has found.
Twenty-seven of them canlook forward to retiring on a pension of at least £500,000 a year – equivalent to £9,615 a week, 71 times the basic state pension for a married couple and can typically stop working at 60 without incurring any financial penalties.
The study by Labour Research magazine uncovered details of the super-enhanced pension arrangements of the UK FTSE 100’s top executives, based on the compan ies’ own remuneration reports.
Top of the table of high earners is Lord Browne, chief executive of oil multinational BP, who would enjoy a pension £991,000 or £19,058 a week if he retired tomorrow.
More than three-quarters (77%) of the companies that make up the FTSE 100 index still have “final salary” schemes for their directors. The remainder have defined contribution schemes.
Neal Moister, researcher for the Labour Research Department, who carried out the study, said: “It is hypocritical for so many senior business figures to advocate pushing the state pension age up and up while they negotiate a completely different set of rules for themselves.
“Many low-paid workers will have to work for many more years to receive a basic pension while FTSE 100 directors can look forward to a luxury retirement from the age of 60 if not younger.”