Clarksons Shipping Company Faces EIGHTH Wage Protest Due to Top Executive Case Receiving a £12 Million Salary Package

Little-Known Shipping Giant Clarksons Under Fire Over CEO's Mammoth Pay Packet

Clarksons' top dog, Andi Case, is in hot water after pocketing a whopping £12 million last year, making him one of the highest-paid bosses in London's stock market.

Case, who's been running the firm since 2008, scooped a bonus of an eye-watering £10.4 million. But here's the kicker – Clarksons is a relatively unheard-of business outside the shipping industry. Listed on the FTSE 250 due to its modest value of approximately £1.2 billion, it's too small for the prestigious FTSE 100.

Despite its size, Case's paycheck easily outshines other bigwigs at rival companies. Take HSBC's Noel Quinn, Tesco's Ken Murphy, Shell's Wael Sawan, and BP's Murray Auchincloss, all of whom collected significantly less. Even Vincent Clerc, the boss of the world's largest shipping company, Maersk, made roughly half as much as Case despite Maersk's staggering £19.3 billion valuation.

To put things in perspective, Case made almost triple Vincent Clerc's pay. And remember, Clarksons is considerably smaller than Maersk!

Some might find it shocking that Case was awarded less than several leading FTSE 100 CEOs, including AstraZeneca's Pascal Soriot, who pocketed £17 million last year. But here's the twist – nearly half of Clarksons' shareholders voted against Case's pay package at the 2023 annual meeting, putting the company on the 'list of shame' for greedy bosses.

This blacklist is maintained by the Investment Association, a trade body that highlights firms where more than 20% of shareholders vote against executive pay. Notable companies that have faced investor revolts in recent years include AstraZeneca, Pearson, Unilever, and Smith & Nephew.

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But not everyone is critical of lavish CEO paychecks. Leading voices, including London Stock Exchange boss Julia Hoggett, argue that big salaries are essential to keep skilled leaders in the UK. Clarksons claims it needs to fork out large sums to prevent its top brass from bolting for competitors.

Case's rewards are linked to the group's performance, with uncapped bonuses and shares on offer. Since joining the company in 2006, Case has amassed nearly £50 million over the past decade. His salary remains at £550,000, with additional perks such as a private car and membership to multiple private clubs.

However, critics argue that such sums, despite recurring shareholder rebellions, indicate that the firm is lacking in moral compass.

Case, 57, took the helm at Clarksons in 2008. This year, two shareholder advisory groups, Pirc and Glass Lewis, have recommended investors reject the pay report at the annual meeting set this week. They believe that the company's reliance on executive goodwill to mitigate excessive payouts isn't ideal.

Andrew Speke of the High Pay Centre think tank said, "Clarksons' clear disregard for shareholder opinion shows a company sorely lacking in ethics."

Tim Miller, who leads the company's pay committee, defends Case's rewards, emphasizing Clarksons' success story as a UK company and shareholders' increased wealth under Case's leadership. With a rise in market value of over 1,800% since 2008, taking the company's worth from £62 million to £1.2 billion, Miller argues that Case's pay is well-deserved.

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Enrichment Data:

High Total Compensation Relative to Peers: Case's compensation package exceeds industry norms for mid-cap CEOs, despite some measures (like base salary) remaining stagnant.
Frequent Shareholder Rebellions: Despite shareholder dissent, Clarksons maintains an aggressive M&A strategy (e.g., RS Platou acquisition) and continuously pays out large sums to retain executives.
Governance and Shareholder Sentiment Concerns: While 47.33% of shareholders opposed Case's pay in the 2023 AGM, deferred stock awards boost his stake, which some investors argue is too dilutive or lacking performance ties.
Broader Industry Trends: Navigating consolidation and a fragile post-pandemic recovery in the shipping industry complicates the case for Case's high compensation, although it might help justify his pay for short-term gains rather than sustainable growth.

Andi Case, the CEO of Clarksons, received a staggering £12 million salary in 2023, making remuneration in the finance and investing world questionable, especially given the firm's moderately valued position on the FTSE 250.
Despite the massive paycheck, Case's earnings surpassed those of other top executives at major companies like HSBC, Tesco, Shell, BP, and even the boss of the world's largest shipping company, Maersk.
An Investment Association blacklist for greedy executives has highlighted Clarksons due to nearly half of shareholders voting against Case's pay package in the 2023 annual meeting.
Critics argue that such large sums, despite recurring shareholder rebellions, indicate a lack of moral compass within the company.
Clarksons defends Case's rewards, citing the importance of competitive salaries to retain skilled leaders and the company's success story in the wealth-management and business sectors over the past decade.
Tim Miller, who leads the company's pay committee, points to Clarksons' significant growth, with a rise in market value of over 1,800% since 2008, as evidence that Case's pay is well-deserved.