Burberry CEO takes pay cut after disappointing results
08/06/2016
Christopher Bailey, who has occupied the role since May 2015, claimed total remuneration of £1.9 million compared to £7.5 million the previous year. This figure included his basic salary plus allowances and pension payments. He received no bonuses for the year.
Burberry reported revenue of £2.5 billion for the year ending March 31 2016, on which it achieved profit before tax of £421 million. This represented year-on-year drops of 1% and 8.3% respectively. The retailer reacted to these results by announcing a £100 million cost-cut plan that included improving efficiency in marketing, lowering operating expenses and simplifying of processes.
“Our overall approach to incentive structures for all staff, including senior management, is based on performance,” said Burberry chairman John Peace. “When the business does not perform as well, this has an impact on what we pay to our staff.”
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