Capita to place bit less sauce in outsourcing execs' share awards packets

Capita has told investors that its CEO and CFO will see a 70 per cent reduction in the number of shares they were due to be awarded as part of their annual package in 2020. The outsourcing and IT services company said this week that “recent share price performance” meant the “long term incentive plan” (LTIP) for CEO Jon Lewis …

[Pascal Monett]

He was supposed to get 5,900,000 shares ?

Do they hand them out like M&Ms ?

I had to check, so I searched for Capita share price. If I got the right one, Capita PLC is at 31.49 right now at the London Stock Exchange.

That means that this guy was going to trouser no less than 185,791,000. Now he's "only" getting 55,737,300.

Don't ask me to weep for him.

[Anonymous Coward]

Re: He was supposed to get 5,900,000 shares ?

At the time of writing 32.90 GBX (not GBP) - i.e. pence - so just under £2 million or £1.86M at your earlier price.

[You aint sin me, roit]

Re: He was supposed to get 5,900,000 shares ?

Last year he was given a similar number of shares, worth just over 2m.

So why was he expecting 3 times the volume this year in the first place?

[Pascal Monett]

Ah, I _thought_ there was something wrong there. Thanks for the update.

So he'll only be getting 550K then.

Still not weeping.

[LucreLout]

Re: He was supposed to get 5,900,000 shares ?

I had to check, so I searched for Capita share price. If I got the right one, Capita PLC is at 31.49 right now at the London Stock Exchange.

That means that this guy was going to trouser no less than 185,791,000. Now he's "only" getting 55,737,300.

Pence not pounds. If you don't even understand how stock markets work then you're not really very well placed to comment on executive comp. A man's gotta know his limitations.

I would however generally agree that no company losing money should be handing out discretionary rewards at any level of the org. Bonuses are for getting to success, not for showing up and trying.

[Jimmy2Cows]

Re: He was supposed to get 5,900,000 shares ?

Come on now. Remember, thanks to political correctness gone mad, everyone must get a participation trophy these days. Regardless of how shit they are. Teach kids there's no such thing as losing, everyone's a winner, you still won even though you didn't, and this is the kind of nonsense we get.

That an being an exec seems mostly about creaming off what you and your fellow exec's can, self-congratulation about how the latest round of "cost saving" has ended up costing twice as much as before the saving, then finally selling the hollowed out husk of the company to some other mug and fucking off into the sunset with your millions.

[BebopWeBop]

Re: He was supposed to get 5,900,000 shares ?

thanks to political correctness gone mad, everyone with the correct connections must get a participation trophy these days.

TFTFY. Ni political correctness, just corruption - moral if not pecuniary.

[Thicko]

Re: He was supposed to get 5,900,000 shares ?

You should have seen what the previous heffalump snuffled away!

[macjules]

Kill it with fire.

And follow up with a suborbital nuclear bombardment on the Capita HQ.

It's the only way to be sure.

[Lazlo Woodbine]

How do they manage to lose money?

They must be the most inefficiently run company in the land, because there's no way they should be losing money with the billions a year they're extracting from taxpayers

[You aint sin me, roit]

Re: How do they manage to lose money?

And why does he get a bonus when they do? Remember this is on last year's results, nothing to do with lockdown - though announced in a way that makes it look like it's an effect of the virus.

What's the point of a "long term incentive plan" If it's long term incentivization of buffoons?

[phuzz]

Re: How do they manage to lose money?

What's the point of a "long term incentive plan" If it's long term incentivization of buffoons?

Well, the buffoons are the ones setting up the incentives.

[LucreLout]

Re: How do they manage to lose money?

They must be the most inefficiently run company in the land, because there's no way they should be losing money with the billions a year they're extracting from taxpayers

Losses aren't always what you think they are.

Give me a 5 year contract in a legal system where TUPE lasts only 2 years, and I'll happily eat a loss on the first couple of years before making out like a bandit on the next 3, with the strong possibility now that your processes are only really understood by my staff, that I'll be getting a 5 year renwal which is pretty much all cheddar.

In Capita's case, its hard to see who the cheese hasn't matured yet, and inexplicable to me why they are being given a discretionary bonus.

[BazNav]

Easy life

I'd quite happily take home £500K for wiping 80% off Capita's share price.

In fact I'm pretty sure I could do that without even going in to work for a year

[phuzz]

Bright side

At least this whole Covid thing should be helping out manufacturers of tiny, tiny, violins.

[Anonymous Coward]

Good, if my bonuses at capita have been removed, then theirs should do too. However, my bonus has been removed for the last 3 years even though it is still in my contract, mr lewis bonus for last year could have easily paid for eveyones bonus in my department for 10+ years.