Advisory groups urge shareholders to vote against new pay scheme

  • Shareholders urged to vote against new pay scheme at Ocado’s AGM
  • CEO Tim Steiner could receive a bonus of up to £15m
  • Concerns raised about excessive pay and awards above market norms
  • Institutional Shareholder Services has material concerns over remuneration structure
  • Ocado’s board defends changes, citing Steiner’s unique position as a founder

Ocado is facing another potential shareholder revolt at its upcoming annual general meeting over a new pay scheme that could result in CEO Tim Steiner receiving a bonus of up to £15m. Two influential advisory groups have called on shareholders to vote against the company’s new remuneration policy and performance share plan, citing concerns about excessive pay and awards that are above market norms. The proposed incentive scheme could pay out Steiner as much as 1,800% of his base salary if certain performance targets are met. However, the company’s shares currently trade at a much lower price. Last year, a significant number of votes were cast against Ocado’s proposed bonus plan, which would have seen Steiner receive £100m over the next five years if share price targets were achieved.

Factuality Level: 8
Factuality Justification: The article provides specific details about the shareholder revolt at Ocado’s annual general meeting over the new pay scheme for CEO Tim Steiner. It includes quotes from influential advisory groups, such as Glass Lewis and Institutional Shareholder Services, expressing concerns about the excessive pay and award levels. The information presented is focused on the topic without digressions or irrelevant details, making it highly factual.
Noise Level: 2
Noise Justification: The article provides a detailed analysis of the upcoming shareholder revolt at Ocado’s annual general meeting over the new pay scheme for CEO Tim Steiner. It includes information from influential advisory groups, quotes from the Financial Times, and specifics about the proposed remuneration policy and performance share plan. The article stays on topic, supports its claims with evidence, and offers insights into the concerns raised by shareholders and advisory groups.
Financial Relevance: Yes
Financial Markets Impacted: Ocado shareholders and investors
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to financial topics as it discusses a potential shareholder revolt at Ocado’s annual general meeting over a new pay scheme for the CEO. However, there is no mention of an extreme event or its impact.

Reported publicly: www.retailgazette.co.uk