(Bloomberg) — Ted Baker Plc has been hit by investor opposition to its executive pay plans, the latest in a series of shareholder revolts at British companies.
About 31% of investors voted against the fashion retailer’s remuneration report, according to a statement Thursday. The policy seeks to pay Chief Executive Officer Rachel Osborne and Chief Financial Officer Marc Dench bonuses reaching as much as 150% of base salary, increasing to as much as 200% “in exceptional circumstances.”
The board said it was disappointed with the high protest vote and will work with investors in the coming months to better understand the reasons behind it.
Ted Baker shares have lost more than 90% of their value in the past four years. The retailer has been running a protracted sales process with little success so far. Last month its preferred bidder walked away and it has yet to decide whether to proceed with other non-binding proposals it has received.
Osborne has been seeking to revive the company by cutting debt and product markdowns, boosting online sales and refreshing the brand. Founder Ray Kelvin departed in 2019 after being accused of inappropriate hugs and other behavior in the workplace, which he denied.
This AGM season, Boohoo Group Plc, Ocado Group Plc, Informa Plc, and Whitbread Plc among others have faced shareholder revolts over pay and bonuses. Earlier this month J Sainsbury Plc won a battle against a group of shareholders calling on the UK’s second-largest grocer to adopt a voluntary standard for employers to raise low-paid workers’ wages.
Osborne will receive a salary of £535,000 in 2023, a pay rise of 2% on this year, and Dench will be paid £350,000, a decline of 11% on his predecessor’s salary.
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