Tuesday, January 10, 2006

The Compass Points to Money For????

2005 was apparently the "most difficult" year in the history of Compass, the largest catering company in the world. There were three profit warnings and a potential fraud scandal. So how was Chief Executive, Mike Bailey, held to account for this state of affairs? He was awarded more than £1 million in shares or options and his total pay packet was more than £1 million year to year. To add insult to injury for the shareholders, who have seen shares go from 550p in 2001 to under 250p now, he also received a boost of £1.4 million on his pension.

The Chairman, Sir Francis Mackay, got shares worth £730,000 on top of his "salary" of £546,000 and a pension top-up of £1 million.

A number of other board members also made huge sums of money. Source - The Guardian

Apparently, the payments were there as an incentive for managers.

Wonder what the workers got as an incentive. Ahh, here it is It has drawn up plans to cut benefits to pension scheme members.


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