Feature The Industry Rich List

Company reports show three publishing execs took home earnings in eight figures in the fiscal year 2016. Tom Tivnan reports

The Millionaire boys’ club


HREE CHIEF EXECUTIVES of book industry conglomerates had compensation packages which exceeded the equivalent of $10m last year, puting them in the upper eche- lon of the c.e.o. remuneration league for all industries, not just publishing and bookselling. Unsurprisingly, all of the $10m- plus c.e.o.s lead businesses at the very top of global publishing’s league table: Erik Engstrom, who took home £10.5m ($14.2m) at RELX, the world’s second-biggest publisher; James Smith ($13.4m) heads up third- placed ThomsonReuters; while Nancy McKinstry (€11.3m, or $13.3m) is the boss of fourth-placed Wolters Kluwer. Our c.e.o. pay chart can be seen as an indicative snapshot and not a truly comprehensive view of global execu- tive pay, owing to some data gaps. Regulations vary from country to country, but generally private compa- nies are not compelled to publicly reveal compensation packages for their heads (In Britain, companies are required to show their top direc- tor’s pay—but that person need not be named). Presumably, Thomas Rabe and Markus Dohle are on whop- ping great pay packages, but Bertels- mann and its Penguin Random House subsidiary are not required to disclose what their respective bosses earn. The chart also rather unfairly shines a light on the UK and North American publicly traded companies as regula- tory provisions require somewhat robust executive compensation data;


only three of the 20 c.e.o.s here are from firms headquartered outside the Anglophone world. The chart is executive compensa- tion for the 2016 fiscal year as per companies’ annual reports, not net worth, which is why Amazon’s Jeff Bezos is 16th on the list with a meagre $1.7m. In July this year, it was widely reported that the Amazon founder’s fortune hit $90.6bn, enough for him to surpass Bill Gates as the richest person in the world following a spike in his company’s share price. This lasted only a few hours as Amazon’s stock dipped the next day, but the calculations were based on Bezos’ 79.9 million shares in Amazon stock (meaning he owns roughly 17% of the company). At this writing, Forbes has poor old Bezos’ net worth down to just

Erik Engstrom above leads the Industry Rich List, which has a noticably modest remuneration for the world’s third-richest man Jeff Bezos far right. Meanwhile, Nancy McKinstry right is one of only two women in the top 20

12th October 2017

Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40