Coast Capital Saving’s Board of Director Compensation in 2011 was:
$750,517 – the total paid to all Coast Capital Directors
$164,140 – the total paid to Coast Capitals’ Chairman of the Board
Compare this to the compensation paid by these other BC companies:
|Board Chair Retainer||$100,000 (for all services, no other retainers or per diems)|
|Audit Committee Chair||$5,000|
|Audit Committee Member||$3,000|
Mountain Equipment Co-Op
|Mountain Equipment Co-Op||2010-2011*||2011-2012|
|Full Day (more than 4 hours)||$600|
|Half Day (4 hours or less)||$300|
*no increase since 2005
Travel Honorarium of $25.00 per hour per director in excess of two hours.
Capped at $6,000 per Director per board year.
Greater Victoria Harbour Authority
|Greater Victoria Harbour Authority||Consultant Recommendation*||Compensation Adopted|
*Note: the amounts the consultant recommended and the lower amounts adopted.
British Columbia Lottery Corporation
|Position||Retainer||Meetings||# of Meetings||Total Remuneration|
|Directors||$7,500||$13,000 on average|
Canada Pension Plan Investment Board – Assets ($170,000,000,000)
We asked Coast Capital savings why some of their directors were paid so much in comparison to other companies which control so much more in assets. Chairman Wellburn wrote back regarding our enquiries and included this reference in his letter.
[I recognize your concerns about director compensation and agree that this topic continues to be contentious. In a recent article by Bob Astey, Chair of the Board of Canada Pension Plan Investment Board, he poses the question, how much director compensation is enough? His response is “there is no general theory supporting director compensation. Most often, compensation levels are set by comparison to a relevant group of similar organizations. The acid test is whether the company’s compensation levels make it difficult to attract candidates who meet the criteria for director skill, experience and expertise.”]
We note that Mr. Astey is an accomplished businessman and the duties of the Chairman of Canada Pension Plan Investment Board are almost certainly more demanding than Chairman of a credit union. Mr. Astey manages assets amounting to over 10 times of that managed by Coast Capital Savings, yet his remuneration as Board Chairman is significantly less than the amount paid by Coast Capital Savings to its Chairman.
Mr. Astey’s remuneration:
Chairman (Bob Astey) $140,000 – no other fees are allowed except for public meetings