$1 million pay cut for NAB chief

National Australia Bank chief executive Cameron Clyne's statutory pay has been cut by $1 million to $7.7 million after the bank fell short of key targets in 2012.

National Australia Bank chief executive Cameron Clyne's statutory pay has been cut by $1 million to $7.7 million after the bank fell short of key targets in 2012.

The bank's annual report, published on Monday, shows the value of bonus payments to Mr Clyne fell in the year to September, following weaker performance a year earlier.

The cut, which had been flagged by Mr Clyne, comes after investors issued NAB a stinging rebuke at its annual meeting last December, with 21 per cent of shareholders voting against the remuneration report after a sharp fall in profit.

The protest vote meant the bank narrowly avoided a first "strike" over remuneration, which could have brought the board a step closer to facing a spill.

NAB's performance improved in 2013, with profit rising 9 per cent to $5.9 billion, but a spokeswoman said the weaker results from 2012 had contributed to the lower bonus payments this year.

In NAB's annual review, also published on Monday, Mr Clyne appeared confident about further profit growth after the bank embarked on a cost-cutting program and revamp of its technology systems.

"We have started to see signs of improvement in our operating environment this year, and the changes we have made put us in a better position than our competitors to take advantage of those opportunities," he wrote.

InvestSMART FORUM: Come and meet the team

We're loading up the van and going on tour from April to June, with events on the NSW central & north coast, the QLD mid-north coast and in Perth, Adelaide, Melbourne, Sydney and Canberra. Come and meet the team and take home simple strategies that you can use to build an investment portfolio to weather any storm. Book your spot here.

Want access to our latest research and new buy ideas?

Start a free 15 day trial and gain access to our research, recommendations and market-beating model portfolios.

Sign up for free

Related Articles