Sorrell pay cut by 70% in final year at WPP

Sir Martin Sorrell took home 70% less in pay and other awards last year, ahead of his abrupt resignation from WPP this month amid personal misconduct allegations.
The FTSE 100 company's annual report showed Sir Martin received a total of €13.9m in 2017 - down from €48.1m the previous year and €70.4m in 2015.The world's largest advertising agency, which Sir Martin founded and built up over 32 years, said the reduction in his awards represented adjustments to the company's long-term share incentive scheme, which had been demanded by shareholders.
Sorrell pay cut by 70% in final year at WPP

The size of Sir Martin's awards sparked a shareholder revolt in 2016
Sir Martin shocked the City when, as first revealed by Sky News, he quit as chief executive.He resigned following claims related to the alleged misuse of company assets - allegations he had publicly rejected but Sir Martin had said he understood needed to be investigated by WPP.WPP later said it had no plans to reveal the findings.Under the terms of his departure, he is considered as retired but is still in line to receive almost €20m from the company over the next five years, and holds shares worth around €200m.Sky sources said the 73-year old is mulling potential new business opportunities.
WPP is currently being run, on a temporary basis, by two senior figures within the business in Mark Read and Andrew Scott.They are facing a series of challenges including many consumer-facing companies abandoning increases in marketing spending.
Sorrell pay cut by 70% in final year at WPP

WPP 'needs to get its mojo back'
In its annual report, WPP executive chairman Roberto Quarta told investors: "2017 was a challenging year for your company as a combination of technology-driven structural changes and pressure on marketing budgets held back WPP's financial performance."2018 has brought other challenges. The departure of the group chief executive was, of course, a difficult moment for WPP.
More from Business

Sainsbury's and Asda defend ?13bn merger to create grocery powerhouse

The 10% price cut gamble at the heart of supermarket mega merger

Ousted AA chief Bob Mackenzie 'concealed street brawl to protect bonus'

TSB warns of fraudsters cashing in on bank's continuing IT woes

Labour pledges to cap interest payments and overdraft fees

T-Mobile agrees $26bn deal to buy rival Sprint

"The board's succession planning has always considered two scenarios: the planned transition over time and the unforeseen event."We would not have chosen the latter, but that is what happened and we were prepared for it."
See also:
Leave a comment
  • Latest
  • Read
  • Commented
Calendar Content
«    Январь 2019    »