Another adviser warns JD Sports shareholders on chairman’s pay
Another leading adviser has added its name to group urging JD Sports shareholders to look at bonus payments for bosses, despite the retailer refusing to repay government support.
Adviser IVIS has warned shareholders over votes on bonus payments and its future remuneration policy, Sky News first reported.
Advisory service Glass Lewis has already issued a damning report against the sports retailer, in which it recommended investors vote against the company’s “inappropriate” pay policy.
Executive chairman Peter Cowgill was paid £4.3m in bonuses last year – including £3m deferred from a special bonus in 2019 – taking his total pay packet to £5m even after a 75 per cent pay cut.
JD Sports claimed more than £61m from the furlough scheme and benefited from around £38m from business rates relief.
It was granted £300m from the Bank of England’s emergency liquidity programme, though never used the funding.
Sources told Sky News that IVIS had told Investment Association members that it would need to be “satisfied that these [bonus] payments are commensurate with the experience of other stakeholders”.
IVIS also reportedly warned JD Sports shareholders about the “hybrid” approach it plans to use for its long-term incentive plan, with awards being made partly in case.
It described the plan as “not best practice”.
JD Sports has been contacted for comment.