- How much capital will I need to invest to be a partner at Big 4 firm?
- Doing Their Part: Accenture’s Ed Meehan talks about the “Hiring Our Heroes” Workshops
- 3 essential people you MUST have in your corner if you have a fighting chance of making partner
- How Should Consultants Best Use Facebook and Social Media
- 7 options to avoid lowering your fees for a client
- The only 8 metrics you need to make sure your business development activity is hitting the spot
- 3 simple questions to help you find your niche
- How to Deal with Client Unresponsiveness
- How my love affair with Buzzards will help you generate more referrals
- Every Coin Has Two Sides: Ernst & Young’s Joe Steger Talks With Big4.com About Q1 Global technology M&A update
PwC: Companies to reduce executive bonuses in 2013
February 4, 2013
By Rob Starr, Content Manager, Big4.com
A PwC survey of large UK companies shows many FTSE100 executives will see no increase to their annual bonuses this year and some bonuses could even be cut by up to quarter.
Tom Gosling, head of the PwC reward practice, said:
“The calls from shareholders for pay and bonus restraint appear to have hit home. Following a number of years in which bonuses had crept up to around 80% of maximum pay on average; we expect them to fall back towards target levels of around 60% of pay this year. This will mark the second successive year of bonus reductions in the FTSE100.”
Despite remuneration committees being keen to demonstrate restraint, the PwC survey suggests that there is unlikely to be a large drop in executive pay levels in the UK over the longer term.
“There is no doubt that the intense shareholder, public and political focus on executive pay over the last 18 months has caused a change of approach,”Gosling said. “But the level of impact is still only modest and anyone hoping for a large-scale reduction in executive pay and bonus payouts in the long-term is likely to be disappointed. We expect executive pay to plateau for a period, rather than fall dramatically. ”