Article content material
Canadian Pacific Kansas Metropolis Ltd.’s high 5 executives every obtained greater than $10 million in whole compensation final 12 months, with chief govt Keith Creel receiving $20 million — a determine that seemingly locations him among the many highest-paid executives in Canada.
Creel earned a base annual wage of $1.8 million earlier than share-based and option-based awards, CPKC’s annual incentive plan, pension values and all different compensation.
Article content material
In the meantime, the Calgary-based railway’s chief monetary officer, Nadeem Velani, obtained $11.9 million in whole compensation — a big bump from 2022 when he earned $4.7 million. Equally, chief advertising and marketing officer John Brooks, chief working officer Mark Redd and chief transformation officer John Orr all crossed the $10-million threshold.
The numbers have been included in CPKC’s 2024 administration proxy round, printed Thursday.
The figures replicate govt pay will increase throughout the board, largely as a result of will increase in share-based awards and boosts to CPKC’s annual incentive plan. Executives, excluding Creel, sometimes earn about $1.5 million yearly in share-based awards. Final 12 months, these 4 executives earned between $6 million and $7 million from these awards.
That’s largely because of the merger between Canadian Pacific and Kansas Metropolis Southern sealed final April, mentioned Arden Dalik, senior associate at World Governance Advisors.
“We actually see a reasonably common observe of doing particular awards like this which are particularly centered on doing these mergers or ending the mission,” Dalik mentioned.
Article content material
Government compensation nonetheless requires shareholder approval. Dalik mentioned she expects the compensation package deal to cross when buyers meet on April 24.
Creel’s annual pay means he earns 159 occasions that of the typical CPKC worker, in line with the corporate report.
It wouldn’t be the primary time Creel has led his friends by way of compensation. Creel was Calgary’s highest-earning govt in 2021, when he collected greater than $26.7 million in wage, shares and incentives.
CPKC has a number of robust governance ideas associated to govt compensation, Dalik mentioned, comparable to a requirement that the CEO personal shares price greater than seven occasions their annual wage. Meaning Creel could be required to carry greater than $12 million in CPKC shares. “That’s undoubtedly pores and skin within the recreation,” Dalik mentioned.
Canadian Pacific and Kansas Metropolis Southern formally merged on April 14 final 12 months to create CPKC, making it the one single-line rail community connecting Canada, the U.S. and Mexico.
Creel’s earnings for 2023 will as soon as once more make him certainly one of Canada’s highest-paid CEOs. The final time govt compensation information was collected, Creel was the highest-paid CEO in Calgary, in entrance of former Enbridge CEO Al Monaco ($19 million), in line with Postmedia’s annual survey of govt compensation at Calgary’s high 11 publicly traded corporations, compiled by World Governance Advisors.
“I believe he’ll be proper on the high,” Dalik mentioned.
mscace@postmedia.com
X: @mattscace67
Share this text in your social community
