AIM Company Directors’ Pay Rose 12% in Past Year, Study ShowsPeter Woodifield
The average earnings of directors of companies listed on the Alternative Investment Market in London rose by almost 12 percent in the past year, according to a report by Incomes Data Services.
Median total earnings advanced 5 percent with salaries rising 3.6 percent, the employment research company said today in an e-mailed statement. Total earnings for directors of all small companies increased 4.9 percent on average.
“There are signs that the earnings of directors at small companies are gathering momentum,” Steve Tatton, editor of the report, said in the statement. “AIM companies are starting to show signs of growth alongside the broader economic recovery in the U.K.”
Companies in Britain have been under mounting pressure to curb executive remuneration amid an investor revolt dubbed the shareholder spring. The U.K.’s top 100 CEOs received a 10 percent median increase in total awarded remuneration, according to a survey earlier this year by proxy voting agency Manifest and London-based pay consultants MM&K.
Most directors of AIM companies didn’t receive a bonus last year, while only 2.7 percent got a long-term incentive plan, Incomes Data Services said. AIM companies make salary a higher proportion of total earnings because of the greater potential for volatile revenue and share-price performance, IDS said.