Ryanair hit by big shareholder revolt over chief executive’s pay

Ryanair suffered a significant shareholder revolt on Thursday over plans to pay CE Michael O’Leary a E458,000 bonus despite the airline furloughing staff and taking state support in response to the pandemic. A third of the carrier’s investors voted against the airline’s non-binding remuneration report, which included O’Leary’s bonus payout for the year up to the end of March 2020, at the annual meeting in Dublin. O’Leary’s base pay for the financial year ending in 2021 will be cut by half to E250,000. The rebellion was larger than what IAG suffered this month, when 20% of shareholders voted against its pay plan. This included a bonus of GBP883,000 for IAG boss Willie Walsh. It is the second year in a row Ryanair has faced protests from shareholders. Last year only 50% voted in favour of the pay report after O’Leary agreed a five-year contract, including 10m in share options. Investor adviser Institutional Shareholder Services had recommended a vote against the pay report for the financial year to the end of March because it was “difficult to justify”. The world’s biggest proxy adviser criticised a bonus that was about 92% of the maximum O’Leary could receive at a time when the aviation industry is in turmoil and suffering its worst crisis. Glass Lewis, the world’s second-biggest proxy adviser, had urged shareholders to abstain. In the final count, about 65% voted in favour, 33% against with 2% abstaining.<br/>