This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.guardian.co.uk/business/2013/may/16/prudential-avoids-pay-revolt

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Pru avoids pay revolt but 11% vote against remuneration report Pru avoids pay revolt but 11% vote against remuneration report
(4 months later)
Prudential bosses escaped a full-scale pay revolt at the insurer's annual meeting on Thursday but shareholders accused them of greed just weeks after the company was fined £30m by the City regulator.Prudential bosses escaped a full-scale pay revolt at the insurer's annual meeting on Thursday but shareholders accused them of greed just weeks after the company was fined £30m by the City regulator.
One shareholder told the board that combined pay of £33.4m for its seven executive directors last year was too high and suggested they were "greedy", while another said pay levels were so out of step with UK average earnings that it was "obscene".One shareholder told the board that combined pay of £33.4m for its seven executive directors last year was too high and suggested they were "greedy", while another said pay levels were so out of step with UK average earnings that it was "obscene".
Chairman Paul Manduca said: "I have a lot of sympathy with your remarks on remuneration relative to the rest of the country. Nevertheless we are a successful global business based in London and we must be competitive."Chairman Paul Manduca said: "I have a lot of sympathy with your remarks on remuneration relative to the rest of the country. Nevertheless we are a successful global business based in London and we must be competitive."
He said pay was based on long-term incentives and share price performance.He said pay was based on long-term incentives and share price performance.
More than 11% of shareholders who voted came out against the pay report.More than 11% of shareholders who voted came out against the pay report.
The vote came after chief executive Tidjane Thiam was personally censured by the Financial Services Authority for the company's failure to be open and co-operative with the watchdog over its ill-fated bid for AIA – the Asian arm of US insurer AIG – three years ago.The vote came after chief executive Tidjane Thiam was personally censured by the Financial Services Authority for the company's failure to be open and co-operative with the watchdog over its ill-fated bid for AIA – the Asian arm of US insurer AIG – three years ago.
The FSA, which imposed the £30m fine, only found out about the proposed £21bn takeover through the media.The FSA, which imposed the £30m fine, only found out about the proposed £21bn takeover through the media.
Speaking at the annual meeting Steve O'Donnell, a Pru employee and union representative, also questioned the bonuses paid out to Thiam and the chief risk officer John Foley on the grounds that bonuses were supposed to be partly determined by regulatory and governance compliance. Thiam earned a total package worth £7.8m in 2012, a 66% increase compared with a year earlier.Speaking at the annual meeting Steve O'Donnell, a Pru employee and union representative, also questioned the bonuses paid out to Thiam and the chief risk officer John Foley on the grounds that bonuses were supposed to be partly determined by regulatory and governance compliance. Thiam earned a total package worth £7.8m in 2012, a 66% increase compared with a year earlier.
Shareholders voted in favour of Thiam's re-election, despite the questions, with just 1.9% voting against.Shareholders voted in favour of Thiam's re-election, despite the questions, with just 1.9% voting against.
The minor rebellion against the Pru's pay was similar in scale to that staged by Aviva shareholders,with 11.7% voting against its pay report at the annual meeting last week.The minor rebellion against the Pru's pay was similar in scale to that staged by Aviva shareholders,with 11.7% voting against its pay report at the annual meeting last week.
Our editors' picks for the day's top news and commentary delivered to your inbox each morning.