- Persimmon CEO Jeff Fairburn took home £47 million ($AU85.6 million) in 2017.
- Fairburn’s payout came despite a scandal over the huge earnings of senior staff at the property developer.
- Fairburn’s payout is more than twice the combined payouts of the CEOs of Britain’s four biggest banks.
LONDON – Persimmon CEO Jeff Fairburn earned over £47 million ($AU85.6 million) in 2017, more than the combined earnings of JPMorgan boss Jamie Dimon and Goldman Sachs CEO Lloyd Blankfein.
The FTSE 350 housebuilder released its annual financial results on Monday after pressure surrounding the huge remuneration earned by Fairburn and other senior executives in previous years.
Fairburn picked up a basic salary of £675,270, an annual bonus of around £1.3 million, and a share award worth almost £45 million. His total package totalled £47,086,676.
In 2016, Fairburn’s total package was worth £2.1 million.
Persimmon has been the subject of huge scrutiny from shareholders over its Long Term Incentive Plan (LTIP), which allowed directors to earn huge sums in share awards. Fairburn was originally believed to be in line for a payout worth more than £100 million.
“The board believes that the introduction of the 2012 LTIP has been a significant factor in the Company’s outstanding performance over this period, led by a strong and talented executive team,” Persimmon said in December.
The payouts would have allowed Fairburn and two others to earn a combined £126 million in 2017. The resulting controversy led to the resignations of chairman Nicholas Wrigley and independent director Jonathan Davie.
The remuneration puts Fairburn in a class of his own in terms of major CEO pay in the UK, and even makes the earnings of major figures on Wall Street look like small change. It is more than twice the combined payouts of the CEOs of Britain’s four biggest banks.
Fairburn has previously said he will give a substantial portion of his earnings to charity. Initially, he said he planned to take an “old-fashioned approach” and keep his philanthropy private, but released a public statement on the matter in February after intense public scrutiny.
“I would like to make it clear that I did not seek these levels of award nor do I consider it right to keep them entirely for myself,” he said in a statement at the time.