Chairmen got almost three times the normal salary increases – Aftenposten

Chairmen got almost three times the normal salary increases – Aftenposten

Growing inequalities between those who sit on company boards and the usual work.

Figures Aftenposten has gained access from Norwegian Institute of Directors shows that a chairman received 9 percent more for their efforts in the board last year before. Board members received an increase of 10 percent.

Salary increase for me and you are not quite ready, but Statistics Norway estimated it to 3.3 percent. Norges Bank projected in December 3.5 percent.

This week it was also known that lønnsmottagere can not wait very much in this year’s wage.

– We see that the fees have increased, and it is particularly the less well paid that is pushed upward, says CEO Turid Solvang Norwegian Institute of Directors.

This year’s survey institute includes 194 companies, of which 146 are listed on the Oslo Stock Exchange and 44 are state-owned, unlisted companies.

– Globalisation, technological development and changes in operating conditions and regulations do its work more extensive and demanding. For each Board member is responsible huge, and the consequences of making the wrong decisions, or of making decisions on the wrong basis, can be devastating both for the company and board member himself, she continues.

– Natural development

Professor and expert on board work Huse, told Aftenposten that it is natural that the fees increase.

– I believe that it is ultimately at the time when anyone sat on the boards. There are increasing demands for work to be done in a board, and many say that when workload and responsibility increases, then you must also increase the payment, says Huse.

In addition we adapt us international levels. More and more control retrieves expertise from other countries, and when fees level in Norway is below the level abroad, it is quite natural that the fees be adjusted upwards, he said.

He adds that it is not uncommon for some can control space and the payment for it, really be payment for anything else. He does not rule out that the two chairmen who receive most paid on this list may be examples of this.

– When they get so well paid, it is conceivable that their reward is part of a larger package, says Huse.

These serve the most

Bijan Mossavar Rahmani (62) in DNO and Øyvind Eriksen (50) Aker Solutions tops the list of the highest paid chairmen of Norway with a board remuneration respectively 6.4 and 6 million.

(The article continues below the graphic. Click on the year for fees in previous years.)

– The fees reflect the significant labor and management task Øyvind Eriksen has had as chairman of Aker Solutions. The role entailed far more extensive tasks than what most chairmen in the country have as their responsibility. Eriksen has exercised CEO functions, inter alia, means that he has led corporate management and work to develop the Group strategic communications director Bunny Nooryani Aker Solutions in an e-mail to Aftenposten.

Eriksen and Rahmani is mile wide front the next person on the list, Bjarte Henry Bruheim (59) in Electromagnetic Geoservices, which received 3.4 million for his efforts on the board.

Communications Director Henrik Schwabe DNO referring to earlier statements Aftenposten from CEO Bjorn Dale:

“DNO still has a low compensation level for the Board and management compared with international companies. DNO competing for the best talent and people with heavy experience. DNO will still strive to offer competitive terms . “

Overall, there are seven chairmen who received more than a million dollars in payment for the chairman job. For comparison pays 40 of the 250 listed companies in Sweden more than a million dollars to their chairmen.

Government hardly increase

While the listed companies go from wage earners, it turns that chairmen and members of the wholly state-owned companies outside the exchange is roughly unchanged.

The chairmen here got about a 1 percent increase, while the directors had to settle with 0.5 percent.

(The article continues below the graphic.)

Thus the difference in directors’ fees between private and state-owned companies.

On average, steer people in the state-owned companies only half of the payment they receive in listed companies.

The highest paid chairmen of state companies we find in Statkraft, then Posten, Entra, NSB and Avinor.

It also proves that the listed companies in which the state has a large stake, such as DNB, have lower fees than other listed companies.

– The best do not need the best payment

– State-owned companies are about quiet, 1 percent salary increase. It may seem like they are very moderate because of its ownership, Solvang says.

Professor Morten Huse points out that corporate governance at the Department of Commerce has worked closely with the recruitment for several years, and an overall work here, he believes leads to moderate wages for board work.

– They hunt the very best. But it is not certain that the very best want or need to have the best paid, says Homes before adding:

– Staten careful. They are a role model and sets the standard. Therefore, they must be conscious of what they do.

The survey also shows that it is the lowest-paid chairmen who have the greatest increase. They increased by 20 percent.

Published: 09.feb. 2015 9:15 p.m.