The Times of London is reporting today that Reuters CEO Tom Glocer took a 15 percent pay cut in 2005 despite profits at the business media and information company.
Reporter Rhys Blakely wrote, “According to Reuters’ annual report, published today, Mr Glocer’s overall pay including bonuses fell to Â£1.97 million in 2005, from Â£2.32 million in 2004.
“The fall in Mr Glocers’ earnings came as Reuter’s remuneration committee company handed the company’s executives only 72 per cent of their potential bonuses, compared with 99.4 per cent in 2004.
“Earlier this year, investors had voiced concerns over ‘bonus creep’ at Reuters amid fears over whether the performance criteria attached to the payments were tough enough.
“The cut means Mr Glocer picked up a bonus of Â£881,000 last year, compared with Â£1.22 million in 2004. The drop was prompted in part through a decline in Reuters’ free cash flow as it moved to a new property in Canary Wharf in London and covered other investments.”
Read the story here.
Glocer joined Reuters Group in New York in 1993 as vice president and deputy counsel, Reuters America and was appointed executive vice president and general counsel, Reuters America Holdings in 1995. In 1997 he was appointed chief executive pfficer, Reuters Latin America, with responsibility for Reuters operations in Central and South America. In February 2000 he was appointed chief executive officer, Reuters Information.
He was appointed to the Reuters board in June 2000 and became chief executive of Reuters Group PLC in July 2001.