SEGRO Shareholders Rebel Against Directors' Renumeration

LONDON (Alliance News) - SEGRO has become the latest company to be hit by a high pay backlash against the pay packets of the warehouse investor's top executives.

At the FTSE 100-listed firm's annual general meeting on Thursday, around 35% of the company's shareholders voted against the approval of approve the directors' remuneration report.

Moreover, a binding vote on SEGRO's pay policy passed comfortably but faced opposition from about 14% of shareholders. A similar number also voted against the re-election of directors Chris Fisher, Martin Moore and Doug Webb, who had served on the remuneration committee last year.

SEGRO said it "will continue to engage with shareholders to ensure their views are fully understood and considered".

Despite the fierce opposition, all resolutions at the AGM passed.

Executive pay will be a under the microscope as many blue chip companies hold their annual general meetings in the coming months.

There has been increasing scrutiny from investors on lavish executive pension arrangements as well as how much they are paid. Moreover, firms have been urged by UK lawmakers to cap the level of salaries paid to top executives and align them more closely with their workers.

On Wednesday, 19% of FTSE 250-listed energy company Drax Group PLC shareholders voted against executive pay at its AGM.

Earlier this month, three executive directors at Asia-focused bank HSBC Holdings agreed a reduction in their pension allowance, following increasing scrutiny from investors and other shareholders on overall executive pay.