Mr Jansen was replaced by Allison Kirkby as chief executive of BT at the end of January after five years leading the company
BT has disclosed that it awarded its former chief, Philip Jansen, a hefty £3.7million final pay package, despite the telecoms giant reporting lower profits and ramping up its cost-cutting measures.
Mr Jansen was succeeded by Allison Kirkby as BT’s chief executive at the end of January, after a five-year stint at the helm of the company. The company’s most recent annual report revealed that the ex-boss’s total remuneration surged by 25.8% to £3.72million for the financial year ending March 31.
This increase occurred even though Mr Jansen received less fixed pay dropping to £1.11million from £1.32million the previous year due to his departure from the company 10 months into the financial year. His pay included a £917,000 salary, along with his pension allowance and benefits, which comprised £79,000 for the expense of a car and personal chauffeur.
The boost in his pay package was fuelled by a leap in his bonus payments, with total variable pay escalating to £2.6million from £1.63million the previous year. This encompassed an annual cash bonus of £1.45million and £1.15million in shares through the company’s restricted share plan.
In contrast, his successor Ms Kirkby pocketed £341,000 for the last two months of the financial year, including a £25,000 relocation allowance. Upon her appointment, BT announced she would receive a yearly salary of £1.1 million plus an annual bonus potentially worth double her salary, contingent on the company’s performance.
BT’s chief financial officer, Simon Lowth, also saw a rise in his pay deal for the year, climbing to £2.69million for the past year from £1.95million the previous year. Despite a 31% drop in pre-tax profits to £1.18billion for the year to March, BT has announced pay rises. The telecoms giant also plans to cut costs by an additional £3billion in the coming years.
