Woolies CEO earns R191m despite R11bn of write-downs and R32bn of market losses
Imagine you try something big at work and – despite your good intentions – you lose R6 billion.
Would your company pay you R23 million for a year’s less-than-ideal work?
If you’re a South African CEO, it probably would.
That’s what Woolworths CEO Ian Moir earned in the past year despite the company’s unsuccessful (thus far) Australian endeavour which he spearheaded.
Moir’s earnings total R191 million in the past five years since he led Woolworths’ ill-fated acquisition of David Jones for R21.5 billion.
Clark finds CEO remuneration in South African questionable.
CEOs in this country are not making us proud, he argues.
Listen to the interview in the audio below (and scroll down for quotes from it).
We’ve seen three companies in the last two days - York Timbers, Woolworths and Grand Parade - pay their CEOs exorbitant sums of money where all three companies have either cost their shareholders significant losses, decreases in market value or enormous write-downs of the transactions they’ve done…Anthony Clark, analyst - Small Talk Daily
The company paid him [Woolworths CEO Ian Moir] R191 million… How fair is that when shareholders have seen massive amounts of money wiped from their pension funds?Anthony Clark, analyst - Small Talk Daily
Woolworths’ move into Australia has been spectacularly unsuccessful… the share price has fallen rapidly, and the earnings have been hit… International talent has just caused R11 billion of write-downs and R32 billion of market losses.Anthony Clark, analyst - Small Talk Daily
…paying a CEO to fix the mess he created… Who are these people?Anthony Clark, analyst - Small Talk Daily
If you do a good job and create value, you should be well recompensed. When Whitey Basson took home R600 million it caused a major scandal. But he created enormous amounts of wealth…Anthony Clark, analyst - Small Talk Daily
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