Barclays in move to quell pay backlash
BARCLAYS has announced a new director in charge of setting pay and bonuses as it moves to defuse a potential shareholder revolt at next week's AGM.
The bank, which paid out £2.38bn in bonuses last year, said Crawford Gillies has been appointed to its board and will succeed Sir John Sunderland as chairman of its remuneration committee at a date to be set.
The switch comes amid anger over Barclays' decision to increase the bonus pool by 10% last year, despite a 32% fall in underlying profits and an earlier £6bn fundraising in the City.
Shareholder lobby group Pirc last week recommended that its members oppose five resolutions at next Thursday's annual meeting in London, including the remuneration report and reappointment of Sir John.
Chief executive Antony Jenkins said recently that the pay and bonus awards were necessary in order to retain top talent in its investment banking arm.