BT CEO’s Pay Raise Limited to 18% by Customer-Service Problemsby
BT Group Plc Chief Executive Officer Gavin Patterson’s pay rose 18 percent to 5.4 million pounds ($7.9 million) in the latest financial year, but he forfeited a bigger increase because the carrier fell short of customer-service targets, the company said in its annual report.
Patterson’s pay was lifted by a 3 million pound award under the telecommunications company’s incentive share plan, reflecting the performance of its stock price over three years. Base pay rose 2.4 percent, to 969,000 pounds, for the fiscal year ended March 31.
Patterson’s bonus fell to 1.05 million pounds from 1.32 million pounds a year earlier. BT said the bonus was restricted to 45 percent of the maximum he could have received because of customer-service problems.
BT this month outlined plans to improve service under a proposal to invest as much as 6 billion pounds in its broadband network. The company said it would hire more engineers, reduce the number of missed appointments and speed up repairs to faulty lines.
Sky Plc, Vodafone Group Plc’s U.K. unit and TalkTalk Telecom Group Plc, which use BT’s network to reach customers, this week called on regulators to separate the broadband infrastructure into a separate company.