News: Shell CEO takes large pay cut after bruising 2020.
LONDON (Reuters) – Royal Dutch Shell Chief Executive Ben van Beurden’s salary package fell 42% to $ 7 million in 2020. That year, the coronavirus pandemic led the energy company to cut its dividend historic after a slump in profits.
Van Beurden, who initially oversaw the growth of Shell’s oil and gas production after taking office in 2014, is now leading the Anglo-Dutch company through a shift towards low-carbon energy to reduce greenhouse gas emissions by 2050.
The unprecedented blow to the energy sector last year from the pandemic that briefly pushed US oil prices into negative territory forced Shell to cut its dividend for the first time since World War II.
As global demand for oil and gas fell last year, Shell’s earnings fell to a two-decade low, while stocks hit their lowest level since the 1990s.
Van Beurden’s total compensation for 2020 was 5.8 million euros (6.93 million US dollars), compared to around 10 million euros in the previous year, as the company announced in its annual report on Thursday.
In 2019, Van Beurden’s compensation had also decreased by 51%.
The oil major announced Thursday that former BHP chief Andrew Mackenzie will become his next chairman for Charles Holliday, who is stepping down on May 18 after serving six years in that role.
Mackenzie will likely lead the search for a successor to van Beurden in the years to come.
($ 1 = 0.8375 euros)
Additional coverage from Indranil Sarkar in Bengaluru; Arrangement by Bernard Orr and Edmund Blair
Original Source © Reuters