Almost one-third of Standard Chartered Bank’s shareholders voted against executive compensation at the bank’s annual shareholders meeting after acting advisors. Was criticized This was due to record UK regulatory fines that did not adequately reduce top manager bonuses.
Both compensation resolutions were passed at the annual meeting in London on Wednesday, with 31% of the votes against wage policy and 27% against the 2021 wage report. The solution usually passes with a much higher level of support.
Prior to the meeting, shareholder advisors ISS and Glass Lewis told investors to vote against the proposal. £ 46.5 million penalty From the Prudential Regulation Authority in December.
The PRA mistakenly and repeatedly reported key liquidity indicators and accused banks of not being “open and supportive” during the investigation.
As a result of the PRA fine, StanChart executives received only a 7 percentage point reduction against the 2021 performance scorecard. Therefore, it was considered to have reached the target of 57%. That’s £ 1.4 billion, or 38% of the bonus pay. Higher than 2020.
Bill Winters CEO’s total salary increased 19% to £ 4.66m last year, while Chief Financial Officer Andy Halford increased 21% to £ 2.98m.
After the activist campaign, there were few votes against the lender’s Net Zero Buy 2050 plan. Activists shook the meeting by hoisting a protest banner outside the AGM venue and chanting and wearing the devil’s mask with the horns of Jose Vignar on the face of Winters and the chair. ..
Approximately 17% voted against this policy, but the shareholder resolution to impose a more aggressive set of net zero targets received only 11% support.
AGM voting takes place when emerging market-focused lenders begin to improve their performance.
Last week, StanChart reported a 6% increase in pre-tax profit in the first quarter of 2022 after a surge in trading income and transaction banking. On that day, stock prices soared by more than 14%.
Separately, 11% of Barclays shareholders voted against payroll reports at the same day’s annual shareholders meeting in Manchester. However, 19% opposed climate strategies and goals, and activists suspended AGM for 25 minutes after sticking to a chair and alerting.
“There was widespread involvement with stakeholders on this issue,” the bank responded. “We are aware of different views across stock registration .. We look forward to continuing to address this issue and provide up-to-date information on green finance later this year.”
Standard Chartered Bank shareholders submit a protest vote against executive compensation
Source link Standard Chartered Bank shareholders submit a protest vote against executive compensation