Next's boss rakes in £4.5m – and shares an extra payout of £2.4m with his staff
Lord Wolfson, chief executive of Next, pocketed more than £4.5m last year after a healthy rise in annual profits at the fashion and homewares retailer.
But he has taken the almost unprecedented step for a FTSE 100 boss of sharing with his staff an additional payout of £2.4m, following a sharp rise in the group's share price over the last three years.
Lord Wolfson received £4.63m for Next's last financial year, including a salary of £714,000, an annual bonus of £1.06m and a further payout of £514,000 under a long-term incentive plan.
Next increased its pre-tax profits by 9 per cent to £621.6m over the year to 26 January. That rise was driven by a stunning performance from its 26-year-old Directory catalogue and online business.
However, Lord Wolfson was not the highest paid member on its board, as Christos Angelides, the group product director, pocketed a total package of £5.43m.
That included £1.73m for the retailer's share matching plan, in which it hands directors a share for every one they purchase.
A key reason for the difference in the two directors' pay was Lord Wolfson's decision to waive the £2.4m additional bonus from the same share-matching plan (SMP) and hand it to long-serving employees.
That means all full-time and part-time staff who have worked at Next over the three years of the SMP will receive around 1 per cent of their salary, as a one-off bonus, with their July pay.
In an email to staff, Lord Wolfson said he had "greatly benefited" from the rise in its share price from less than £22 in June 2010 to more than £40. That rise had increased the value of the company by about £3bn.
He said: "The exceptional gain in our share price has meant that this award has now become more valuable than I could possibly have expected."
Next's market capitalisation of £7.01bn makes it more valuable than Marks & Spencer's £6.4bn.
- 1 Pope Francis issues top 10 tips for happiness
- 2 Disney heiress Abigail disowns her share of family profits in West Bank company
- 4 Israel's propaganda machine is finally starting to misfire
- 5 Kelsey Grammer forgives the man who raped and murdered his sister in 1975
Russell Brand accuses Sean Hannity of terrorism after aggressive Israel-Gaza debate
Pope Francis issues top 10 tips for happiness
Kenny Ireland dead: Benidorm actor dies aged 68
Justin Bieber posts Instagram photo of Orlando Bloom crying after Ibiza fight 'over Miranda Kerr'
Air Algerie AH5017 crash: Jet fell 30,000 feet in three minutes ‘due to violent storm’
The secret report that helps Israel hide facts
Land for gas: Merkel and Putin discussed secret deal could end Ukraine crisis
Woman and two children killed by mob in riots over 'blasphemous' Facebook post in Pakistan
Richard Dawkins tweets: 'Date rape is bad, stranger rape is worse'
Putin is 'thuggish, dishonest and reckless', says British ambassador to US
Boozy, ignorant, intolerant, but very polite – Britain as others see us
- < Previous
- Next >
iJobs Money & Business
£300 - £350 per day: Orgtel: Financial Analyst, Forecasting, Halifax, Banking,...
£500 per day: Orgtel: Business Architect - Banking - Bristol - £500 per day A...
£200 - £500 per day + competitive: Orgtel: I am currently working on a large p...
£18000 - £23000 per annum + Commission: SThree: Real Staffing are currently lo...