UK - Schemes have slammed a £1.3m payoff to NTL president and chief executive Barclay Knapp who led the firm to seek Chapter 11 bankruptcy protection.
Knapp’s golden handshake represented three times his annual salary.
The NAPF said the payoff was further evidence that executives’ contracts should be limited to two years or less – one-year rolling contracts are currently standard best practice.
A spokesman said: “This shows the need for setting out contracts properly to avoid any chance of payment for failure.”
Pension funds have until September 30 to respond to the department of trade and industry’s Rewards for Failure consultation paper which questions whether to back the UK’s corporate governance framework with legislation.
Jonathan Stapleton asks whether newly-accredited professional trustees should be a statutory fixture on pension scheme boards.
Savers are being warned by the Insolvency Service to guard their pension pots from investment scammers and negligent trustees as it winds up 24 companies.
Respondents say they should only be required in certain situations as the system is not broken.