Equitable Life Defends GBP1m Boss Pay

Equitable Life Defends £1m Boss Pay

Equitable Life has defended its decision to hand its chief executive a pay package worth more than £1m as it prepares to sell off its businesses.  Charles Thomson, who has been chief executive of the company since March 2001 received £1,004,287 this year in a multifaceted pay package comprising salary, bonus, benefits and long-term retention scheme.

Alistair Dunbar, spokesman for Equitable Life said that pay had been in line with the industry average.  Explaining the seven-figure payment, he pointed to the mutual’s recent achievements in transferring funds.  He also said that two very significant deals were made in the last year with Canada Life and Prudential, moving over £6bn in funds.  

Our view

This opens up old wounds and rubbing a huge amount of salt in.  We suggest that whilst clients are still having huge penalties levied, it is not quite right to pay somebody over a million pounds to oversee this.

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