Standard Life Aberdeen to pay new boss up to £6.3m: Veteran banker Stephen Bird set to replace departing chief exec Keith Skeoch
One of the UK’s biggest fund managers has rolled out the red carpet for its new boss with a pay package worth up to £6.3million – almost £2million more than the man he is replacing.
Standard Life Aberdeen says chief executive Keith Skeoch is stepping down after five years, to be replaced by veteran banker Stephen Bird (pictured), 53, the former head of consumer banking at Citigroup.
He has been handed a pay deal many would envy. As well as a £875,000 basic salary, the Scot is entitled to performance-related bonuses worth up to £5.25million, split between an annual bonus, and a long-term shares award.
Standard Life Aberdeen says chief exec Keith Skeoch is stepping down after five years, to be replaced by Stephen Bird (pictured), 53, the former head of consumer banking at Citigroup
He also receives £157,500 in his pension pot, and other benefits.
This eclipses Skeoch’s package which was worth up to £4.4million. In reality he received almost £1.5million last year.
The decision to ratchet up the remuneration for his replacement has dismayed consumer campaigners, including former pension minister Baroness Altmann, as the investment industry is under pressure to rein in executive pay during the crisis.
Altmann said: ‘The difference between top executive pay and that of ordinary workers is harder to justify given the Bank of England’s quantitative easing has artificially inflated asset prices.
Which means that rewards for executives may be more down to actions by the Bank than their own brilliance.’
Justin Modray, a veteran investment expert, said: ‘Bird’s pay package looks generous to say the least.’
As boss, Bird will oversee more than half a trillion pounds in assets under management. Standard Life Aberdeen said: ‘Stephen’s remuneration reflects current market levels and the board is satisfied with the arrangements.’