Marks & Spencer’s executive directors will reportedly receive incentive scheme shares worth just 4.7% of their maximum value this year after the retailer missed its revenue targets.
The senior staff, including chief executive Marc Bolland, were informed this week of the relatively small payout from the 2012 Performance Share Plan, Sky News reports. Last year, executives were awarded 7.6%.
It comes a week after M&S reported a 6.1% increase in underlying profit before tax to £661.2m for the year to March 31 – its first rise in annual profits in four years.
However, the PSP incentive scheme is based on performance against earnings per share and revenue targets over a three-year period, which M&S is thought to have missed.
Bolland and other executives are likely to receive a bonus for last year to reflect the profit uplift, sources told Sky News. They did not receive one last year.
A spokeswoman for M&S said she could not comment on these claims ahead of the publication of the retailer’s remuneration reports in early June.