Ladbrokes investors lead revolts against the fat cats

LADBROKES will today reveal that it suffered a massive 40pc rebellion from investors over pay following a disastrous year for the gambling firm.

The bookie was just one of a number of companies, including Reckitt Benckiser and BAE Systems, to be hit by revolts.

Investors were appalled by the pay-off made to the former Ladbrokes boss Richard Glynn, pictured, who quit in December but did not leave until March.

He presided over a dire performance at the bookmaker but received £846,000 in a ‘damages-style contract’ as well as £800,000 in lieu of a bonus and other entitlements, including up to £60,000 of ‘outplacement counselling services’. As a ‘good leaver’ he is also entitled to shares worth almost £2m.

Ladbrokes yesterday announced that chairman Peter Erskine will leave, just six weeks after the departure of Glynn.

Speaking at the annual meeting, Erskine admitted the company had learnt a lesson over Glynn’s rewards, and said that new chief executive Jim Mullen was not entitled to the same ‘damages’ clause.

The group, down 0.3p to 105.6p, will formally issue the results to the stock market this morning. But proxy voting results show 31pc of shareholders voted against the pay and 9pc withheld their votes in protest.

It is one of the largest pay rebellions in recent years.

Reckitt Benckiser was also dealt a bloody nose by its shareholders, with 17pc of them voting against its pay report and 18pc voting against its decision to hand shares worth millions to its executives.

Chief executive Rakesh Kapoor last year took home £11.2m, an increase of almost 65pc, despite the firm facing a string of fines over its corporate governance.

BAE Systems held its vote on election day only weeks after being criticised for issuing its annual report on Budget day.

The defence giant saw 7pc of its shareholders refuse to back awards for boss Ian King. His pay package rose 41pc to £3.5m, despite falling sales and profits.