[ad_1]
Former Rio Tinto CEO Jean-Sébastien Jacques got a pay rise last year despite the destruction of a sacred 46,000-year-old Aboriginal site that forced him to step down and ditch the group mining in the crisis.
Jacques’ total compensation rose 20% to £ 7.2million in the 12 months ending at the end of December, even though Juukan’s throat explosion cost him performance bonuses.
The increase in his annual compensation was driven by a surge in the value of the unvested shares he owns in the Anglo-Australian company. Rio, the world’s largest producer of iron ore, had a record year due to searing Chinese demand for the steel ingredient and last week announced the biggest dividend in its history.
Rio’s annual report, released Monday, also revealed that two other executives who left the company on December 31 following the Juukan Gorge debacle – Simone Niven, head of corporate relations, and Chris Salisbury, head iron ore – were made redundant. profits of $ 1 million and $ 1.6 million respectively.
Simon Thompson, president of Rio, said the strong financial performance of 2020 was overshadowed by the destruction of ancient rock caves. “We feel well below our values as a company and have violated the trust placed in us,” he said.
Jacques’ salary increase drew fierce criticism, with the Australasian Center for Corporate Responsibility arguing that he should not be rewarded for presiding over the company’s destruction of rock caves.
“The decision to destroy the caves at Juukan Gorge was morally repugnant and financially stupid. This has already cost the company millions, and the true cost will not be known for years to come, ”said James Fitzgerald, chief strategy officer at ACCR.
“The payment casts doubt on Rio Tinto’s various expressions of sadness and regret. Here, the chairman and board of directors reward Jacques for his brutal destruction of priceless cultural heritage as well as shareholder value.
Fitzgerald said Jacques should consider donating his pay to an Indigenous charity.
Jakob Stausholm, Rio’s former chief financial officer, was appointed chief executive in December. Jacques will officially leave the company on March 31.
The annual report also found that Rio paid another former CEO, Sam Walsh, AU $ 17.6 million ($ 13.9 million) in deferred bonus payments last year. The payment had been frozen since 2017 due to a corruption investigation conducted by regulators into payments made by Rio to a consultant working on the Simandou iron ore project in Guinea.
Rio said it made the payment following an independent dispute resolution process and because “no other material information” emerged from the regulators’ investigation.
The mining group made an earlier payment of A $ 7.3 million to Walsh in March 2020 for its deferred bonus rights.
Source link
