The corona virus epidemic, which affected the world, also negatively affected the salaries of European senior executives and general managers, whose high earnings were frequently discussed.
The earnings of the top executives of Europe’s most important companies fell to the lowest level in the last ten years.
Earnings of senior executives from Stoxx Europe 50, which includes the largest European companies traded on the stock exchange, and 62 groups, one of the most valuable companies in 12 countries using Euro, decreased by 12 percent on average last year compared to the previous year. In the latest research conducted by the Hkp consulting company, it was stated that the difference corresponds to 5 million 310 thousand euros.
COMPANY’S INCOME HAS BEEN DROPPED
The fact that only 30 percent of the direct payments that senior executives receive—that is, fixed salaries, short-term and long-term bonuses—are profit-related, in fact, keep their losses limited. In 2020, defined as the year of Corona, the earnings of companies have almost halved.
According to the research of the Hkp consulting company, the biggest loss of senior managers was in their annual bonuses, which fell 27 percent. However, especially in France and Spain, the voluntary waiver of part of the salary and bonuses of senior company executives was also a popular practice and increased the average earnings loss.
According to the study, 31 percent of the CEOs of the consumer goods sector most affected by the epidemic gave up earnings of different shapes and sizes. However, the profitable sectors of the epidemic; The earnings of the managers of companies operating in the field of informatics and health increased.
The two highest-earning European CEOs of 2019 remained the same in 2020: Steve Angel, CEO of Linde, an American-German partnered industrial and medical gas supplier, had a revenue of 13 million 900 thousand euros, a decrease compared to the previous year. Angel earned 16.5 million euros in 2018.
However, his account was paid more than 50 million euros last year, along with bonuses from previous years.
The second highest paid manager in Europe was again Roche CEO Severin Schwan, with direct payments of 13 million euros.
In the USA, the average annual earnings of senior executives working in companies in Dow-Jones are 17.7 million euros. Microsoft CEO Satya Nadella is leading here with 38.8 million euro earnings, while McDonalds’s CEO Chris Kempczinski is the manager of the least-earning Dow-Jones company with an annual income of 9.2 million euros.
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