Trinity Mirror faces a shareholder rebellion over chief executive Sly Bailey's pay, according to the Sunday Times.
It says at least four of Trinity Mirror's largest investors have demanded deep cuts to Bailey’s pay package during recent meetings with the company's chairman-elect David Grigson.
The Sunday Times quotes "one top shareholder" claiming: “We have asked for Sly Bailey’s salary to be reviewed as it is excessive by most standards, let alone a company with a market value of about £100m.”
It adds: "The shareholders — Schroders, Aviva Investors, Standard Life and Legal & General — control 42% of Trinity Mirror. While none is looking to oust Bailey, her position would become precarious if she refuses to cut her pay."
The Sunday Times reports: "It is understood Bailey’s remuneration will be discussed by Trinity Mirror’s board, meeting ahead of Thursday’s results" and that "Trinity Mirror has lost more than a quarter of its value over the past year and Bailey has presided over a 90% collapse in the share price since joining the company nine years ago. In that time she has collected more than £12m in pay, bonuses, share awards and other perks."
- The Sunday Times is behind a paywall
- The NUJ has consistently attacked Bailey's pay and perks at a time when the company is axing journalists' jobs.
About time, too. When John Bills wanted to buy the Midlands division in the late-1990s, he offered £210m which is way more than the whole company's worth now. Some of that is down to the recession, but most of it is down to Bailey's incompetent handling of the business. As circulation and ad revenues have fallen, Plan A, B, C, D and E has been to save money, cut costs and sack staff rather than do any outside-the-box-thinking about how to generate new revenues.
ReplyDeleteHer handling of the internet/new media has been a disaster and in the eyes of most people within the business, including a lot of senior managers, she should have been sacked a long time ago. It would be nice to think she would refuse to renegotiate her pay and be kicked out as a result.