WPP pay boss under fire after backlash over Sorrell’s new deal June 12, 2012 THE HEAD of the remuneration committee at advertising giant WPP faces a protest vote today following the controversial 60 per cent pay rise awarded to chief executive Sir Martin Sorrell. Jeffrey Rosen, whose independence has been questioned by shareholder advisory group Pirc, is set to face opposition over his re-election to the board. WPP is [...]
Pension group joins row ahead of WPP meeting June 11, 2012 CAMPAIGNING group FairPensions is the latest critic to speak out against Sir Martin Sorrell’s contentious £12.9m pay package, as tensions mount ahead of WPP’s annual meeting tomorrow. Louise Rouse, director of engagement at FairPensions, said yesterday: “We’re urging shareholders to vote against WPP’s remuneration package because it contains a number of examples of unacceptable practice including [...]
Sorrell’s salary could drop as meeting looms June 10, 2012 WPP conceded for the first time this weekend, just days before the advertising giant’s general meeting, that its board could consider cutting chief executive Sir Martin Sorrell’s controversial pay package. Chairman Philip Lader said the WPP board has exercised “the best commercial judgement” and believes it is doing what is best for shareholders. But he [...]
LONDON REPORT June 10, 2012 THE week starts with a quarterly trading statement from grocer Tesco, which is expected to report a fall in earnings because of tough economic conditions and fierce competition. Tomorrow will see the release of the UK’s latest industrial production and manufacturing data, plus a speech from Paul Tucker, deputy governor of the Bank of England. [...]
Critics question independence of WPP’s Rosen June 7, 2012 PIRC, the shareholder advisory group that is urging investors to vote against Sir Martin Sorrell’s £12.9m pay deal, yesterday questioned the independence of Jeffrey Rosen, the chair of the company’s compensation committee. Rosen, who joined the WPP board in 2004, was earlier a bank adviser to the group when he was at Wasserstein Perella. He [...]
Xstrata and WPP ignore shareholder spring at their peril June 7, 2012 EVEN before the phrase “shareholder spring” was uttered, it was clear that investors were becoming unruly. More often than not it was strategy rather than executive remuneration that caused discontent. Much of the recent unrest, ostensibly about pay, is really about direction. Andrew Moss, the former Aviva boss, could have paid himself £1 last year [...]
WPP takes on critics over Sir Martin’s pay June 6, 2012 ADVERTISING giant WPP yesterday closed ranks around its chief executive Sir Martin Sorrell, who is fending off a shareholder rebellion over his 30 per cent rise in basic pay and £12.9m overall payout for last year. Writing in today’s City A.M. Jeffrey Rosen, chairman of WPP’s compensation committee, said the firm “believes in rewarding performance” and [...]
Why does WPP want to hike Sorrell’s pay? June 6, 2012 Q How much does Martin Sorrell earn? A WPP’s chief exec was awarded a total of £12.9m for 2011. This is made up of: a basic salary of £1.3m (up 30 per cent compared to a year ago), a £2m cash bonus, just over £1m in pension contributions and other benefits, plus £8.6m from various [...]
PROFILE: HOW TO BUILD AN AD GIANT June 6, 2012 1975 Martin Sorrell joins advertising agency Saatchi & Saatchi, rising to become group finance director. 1985 Sorrell searches for a listed company through which he can build a marketing firm. He alights on Wire and Plastic Products – a British manufacturer of wire baskets – and buys 15 per cent of the firm. 1987 The renamed [...]
Is Sir Martin Sorrell, chief executive of WPP, justified in defending his £12.9m pay deal? June 6, 2012 YES Jeffrey Rosen WPP believes in rewarding performance. Sir Martin Sorrell’s compensation is 85 per cent performance related, with a five year co-investment plan which rewards only superior performance and requires him to take a financial risk rather than benefit from one-way options. Sorrell has no notice period, thereby ensuring no reward for failure. The [...]