Bombardier to inform shareholders about changes to exec compensation
Protesters and opposition politicians say the company's reversal doesn't go far enough.
MONTREAL – Bombardier is expected to formally inform shareholders April 10 about changes to the compensation for several of its top executives when it files a new proxy circular with the securities regulator.
Chief executive Alain Bellemare has asked the board to delay payment of more than half of last year’s total planned compensation for six executive officers, including himself, by one year to 2020, provided the company meets certain objectives.
Executive chairman Pierre Beaudoin also asked the board to cut his 2016 compensation by US$1.4 million to bring it in line with what he received the previous year.
That hasn’t satisfied protesters and opposition politicians who say the company’s reversal doesn’t go far enough.
On April 9, protesters threw paper airplanes in front of Premier Philippe Couillard’s Montreal office as they called on the company to reverse the raises altogether.
They also criticized the Quebec government for not having insisted Bombardier protect jobs and limit raises as the company received US$1 billion in taxpayer dollars.
The 2016 compensation figure was roughly 50% more than the amount paid to the same executives in 2015, but Bombardier argued it was not appropriate to compare the two years because some of the executives started their jobs at various times in 2015 and didn’t work the whole year.
Bombardier has faced a storm of public criticism ever since it circulated documents showing six executives were in line for a roughly 50% increase in compensation last year.