HSBC curbs executive pay

An overwhelming majority of HSBC shareholders have approved a new pay policy for executive directors.

The move will cut the maximum amount directors can earn by 7 percent, but the executives’ pay awards for 2015 were backed by 96 percent of investors.

They include a total package worth £7.34 million for chief executive Stuart Gulliver.

A shareholder advisory group had asked shareholders to reject the 2015 remuneration report.

HSBC’s recent annual general meeting outlined its proposals to cut the amount of cash given to directors in lieu of a pension from 50 percent to 30 percent of base salary and make them wait three years before they receive long-term bonuses.

The chairman of HSBC’s remuneration committee, Sam Laidlaw, said in his statement the committee believed there should be rewards for delivering results and penalties when they are not delivered in the right way.