Member Article

Top bosses retire with rich rewards

Bosses from some of Britain’s top companies receive 25 times more pension than workers, it has been revealed.

For more than 340 company directors this resulted in more than £200,000 a year. In addition, bosses could also look forward to their last day on the job five years earlier than public and private sector employees.

The PensionsWatch survey, conducted by the TUC, found top directors with the highest pension payments received an average employer contribution of £149,600.

The study of 346 company directors showed each had amassed a total average pension of more £3m - with some having more than £5m.

TUC General Secretary Brendan Barber said: “As ordinary workers have their pensions schemes closed and are expected to work for longer, the UK’s top bosses are avoiding this collective belt tightening and retaining their gold-plated pensions.

“Top bosses justify their lavish pay and pension arrangements on the risks they take and the rewards they deserve for success. But these credit crunch-busting retirement plans seem to exist in a different world from the economic squeeze that is affecting everyone else’s pensions.

“Many of the most lucrative pension arrangements are shrouded in secrecy, making it hard for investors to scrutinise them and ensure that bosses are accountable. If top directors can really justify their rewards they must be bolder in declaring their pay and pensions to investors and their staff.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .