Britain’s top businessmen will collect up to £1m while companies axe final salary schemes for employees
Britain’s top businessmen can look forward to retiring on pensions of more than £500,000 a year, with leading earners reaching nearly £1m, according to research to be released this week.
The figures come at a highly controversial time, just two weeks after the Association of British Insurers warned that excessive pensions for directors were damaging the reputation of business when ordinary employees were having their benefits cut.
Many leading UK companies are negotiating reductions in benefits or increases in the retirement age for employees in order to tackle pension fund deficits.
The report, to be published in this week’s Labour Research magazine, shows that 112 directors of FTSE 100 firms will have pensions worth at least £200,000 a year, with 27 expecting one of £500,000 a year – a weekly income of £9,615.
Fury over pensions bonanza for bosses