BP’s shareholders have voted to reject a pay package of £14 million for CEO Bob Dudley at the company’s annual general meeting. 59% of investors rejected the 20% pay increase which is one of the largest rejections in recent times of a corporate pay deal in the UK.
Mr Dudley was due to receive the rise despite BP’s falling profits and job cuts, and Manifest notes that the vote is at or above the fifth-largest in the UK against a boardroom remuneration deal.
The vote to reject the increase follows a loss of £334 million ($485 million) for BP in the first 3 months of 2016 as oil prices still take their toll on the markets. BP made a $2.1 billion increase in the same 3 months last year.
BP cut spending three times in 2015 to $19 billion and downsized its workforce by 10% from 80,000 to 72,000. The company projects to spend $17 billion in 2016, which could be cut by up to $2 billion if oil prices remain depressed.