Ryanair shareholders revolt over O’Leary pay package
Nearly half of Ryanair’s shareholders have voted against a pay package for chief executive Michael O’Leary that could see him trouser €99 million (£88m) within five years.
The Irish airline, which is planning to cut 500 to 700 jobs, said that only 50.5% of investors voted in favour of the company’s remuneration report at its annual general meeting in Dublin today.
As a result, a spokesman said the airline would consult with its shareholders.
The vote came during the second day of the latest 48-hour strike by Ryanair’s UK-based pilots.
Under the new pay deal, O’Leary, who signed a new contract earlier this year to remain as chief executive until 2024, stands to make €99 million from stock options if he doubles Ryanair’s profit or share price.
His pay and annual bonus have been halved to a maximum of €500,000 each, but he has the right to buy 10 million shares for €11.12 each then sell at the market price if Ryanair makes a €2 billion profit in any year up to 2024, or its share prices reaches €21 for a period of 28 days from April 2020. He would then pocket the difference.
The airline’s profit dropped to €948m in the year to March 31 compared to €1.6 billion in the previous 12 months. Its shares are currently trading at €9.84.
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