Taylor Wimpey on Wednesday said directors will take a pay cut and bonuses have been axed, in a move by the housebuilder to conserve cash during the coronavirus crisis.
The FTSE 100 builder last week said it would temporarily close show homes, sales centres and construction sites because of the virus. Today it said that in recognition of the impact of these measures on shareholders, the remuneration policy for 2020 has been changed.
There will be a 30% reduction in basic salary and pension for the duration of the Government-imposed lockdown. If restrictions are still in place beyond June, the remuneration committee will review the subject again.
The wage cuts apply to executive directors, including chief executive Pete Redfern and finance chief Chris Carney. They have respective basic salaries of £874,161 and £438,600. A proposed 2% pay rise for this year has been scrapped.
Annual bonuses have also been axed. The maximum bonus executive directors could have got, if all targets had been met, would be 150% of their base salary.
Taylor Wimpey added that non-executive directors will take a 30% reduction in their fees.
