2016 was the year that executive pay was thrust back into the limelight. After the well-known retailer BHS went into liquidation, much blame and public anger was directed at billionaire CEO Philip Green, who was accused of corporate mis-governance of the highest order, making careless business decisions and largely concentrating his efforts on diverting as much money as possible into his own pocket while doing nothing to solve the £571m pensions deficit. He later was later forced to plug this deficit with his own money.
Green seemed to be the centre of a perfect storm of discontent that had been brewing over executive pay amongst investors and the public in the years since the financial crisis. The BHS collapse prompted action from the House of Commons and subsequently Theresa May’s government, who promised a thorough review into corporate governance and executive remuneration, to “tackle corporate irresponsibility and reform capitalism so that it works for everyone, not just the privileged few”.
But it wasn’t just Green making headlines.Download PDF