Moneyweb reports that Pick n Pay, which has begun a three-year turnaround under CEO Sean Summers, paid former boss Pieter Boone a sizeable cash “termination settlement” in terms of his contract of employment.

Summers replaced Boone effective 30 September 2023. According to the group’s financial statements, Boone was paid what it termed a “gratuity” of R15.776m last year. This was over and above his total fixed remuneration of R9.5 million for the seven months between March and end-September. Boone’s base salary for the period was R7.9 million. Boone stepped down in what the group couched as a mutual decision on 30 September. The group announced this, and the fact that Summers would replace him with “immediate effect” on 2 October. The sales decline in the group’s core Pick n Pay banner was clear to see by that point. The group is undertaking a complex recapitalisation that will see it raise R4 billion through a rights offer and a further R6 billion to R8 billion from the separate listing of Boxer, in which it will retain a majority stake. Summers was paid a base salary of R10 million from 30 September, effectively R2 million a month. According to the group’s remuneration disclosure, he receives no retirement and medical contributions or fringe/other benefits. He also received no short-term performance bonus or long-term share awards. This is atypical for a chief executive; however, Summers is independently wealthy. He will run the group for three years and has been incentivised to ensure a succession plan is in place.

• Read the full original of the report in the above regard at Moneyweb

Get other news reports at the SA Labour News home page