Revolt over Royal Mail chief’s £6m golden hello

ROYAL Mail faces a shareholder revolt over lavish pay handed to bosses.

Shareholder advisory services ISS and Glass Lewis have urged investors to reject pay reports at the company’s AGM.

It comes after the firm handed Rico Back, the chief executive, nearly £6m to leave his contract as boss of Royal Mail’s European subsidiary, General Logistics Systems, before he took over the top job last month. The 63-year-old is also set to be paid a £640,000 salary – £100,000 more than his predecessor Moya Greene.

ISS and Glass Lewis also objected to a £900,000 payout given to Greene. Royal Mail argued the payment to Back was not related to his subsequent promotion.

It said his original contract dated back to when the Post Office, then part of Royal Mail, acquired German Parcel, the arm of the business he ran.