New CRH boss to be best-paid chief of his European peers
NEW CRH boss Albert Manifold looks likely to become the best-paid chief executive of all his European peers in his first year in the job.
Payouts at CRH's biggest competitors should pale in comparison to what Wicklow man Mr Manifold, 51, takes home this year, after shareholders overwhelmingly approved a big boost to his pay prospects at the company's AGM last Wednesday. He will now be eligible for at least €7.2m in his first 12 months at Ireland's biggest company.
Some 92.09 per cent of shareholders voted in favour of giving Mr Manifold, previously the company's chief operating officer, even more lucrative terms than his predecessor Myles Lee, from whom he took over the reins in January.
Mr Lee's total pay packet of $5.5m was already the highest among the largest Western European building material suppliers that make up CRH's competitors, where median pay is a more modest $3.7m.
Following the shareholder vote, Mr Manifold is eligible for up to 350 per cent of his annual salary in long-term incentive rewards (which generally comes in the form of performance-related shares). Since his base salary is €1.2m – similar to his predecessor's – this equates to an extra €4.2m.
"The Remuneration Committee believed it was appropriate for Albert to be appointed on broadly the same salary as the outgoing chief executive, rather than phasing the salary in over a number of years, given that the former chief executive had received minor salary increases since 2009 and that there is no current intention to appoint a replacement as chief operating officer," said CRH's annual report.
Mr Manifold is also entitled to an annual bonus – and shareholders at the AGM voted to increase the cap on this to 150 per cent of salary, from 120 per cent. This means he could earn another €1.8m on top of everything else.
The increase in Mr Manifold's maximum pay – and that of other top executives at CRH, who already received increases to their pay caps – follows an "extensive review" of CRH's remuneration policies, launched in the wake of its 2013 AGM.
Sunday Indo Business