David Jones faces pay backlash
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Retailer David Jones (DJS) will face stiff opposition to its remuneration report at this week's annual meeting, with shareholder Perpetual declaring that it will oppose the report, according to The Australian Financial Review.
The opposition comes as Perpetual, which owns nearly 5 per cent of David Jones, expresses concerns about the retailer's direction following the announcement that chief executive Paul Zahra will depart the company once a suitable replacement is found.
“Given recent events we will be voting against the remuneration package,” Perpetual portfolio manager Vince Pezzullo said, according to the AFR.
“We have full faith in Paul Zahra, we think he has been doing a good job.
“We are concerned about the company being left exposed now as they look for a new CEO and concerned that it could lose other senior staff in the lead up to the crucial Christmas period.
“We feel they should have waited until they had firmed up a succession plan before announcing it to the market.”