Chief executives of Nigerian-listed corporations are amongst sub-Saharan Africa’s highest earners, in keeping with a brand new report by PwC.
The median worth of total-guaranteed packages, which incorporates base pay and advantages, for the heads of Nigerian corporations is $323 000 (R4.6 million), the accounting agency mentioned on Thursday in a remuneration report. That’s the very best amongst seven sub-Saharan African international locations excluding South Africa and relies on information printed by 382 corporations, it mentioned.
Chief monetary officers in Africa’s largest economic system are additionally among the many finest paid within the area, with median earnings of $219 000 (R3.1 million), in keeping with PwC.
Nigeria is house to the continent’s largest building-materials producer, Dangote Cement plc owned by Africa’s richest man, Aliko Dangote. The nation has the most important corporations by market worth on the continent outdoors South Africa within the meals and beverage, banking and vitality industries via Nestle Nigeria plc, Warranty Belief Holding Co and Seplat Power plc.
Nigeria vs SA
The market capitalisation of Nigeria’s inventory change is $49 billion (R704 billion), in contrast with South Africa’s $1.1 trillion (R15.8 trillion) bourse, which boasts the most important listed firm in Africa, Naspers.
Among the world’s largest mining corporations, like BHP Group plc, Anglo American plc and Glencore plc, have secondary listings in South Africa and characterize greater than 20% of the overall market capitalisation of the benchmark FTSE/JSE Africa All Share Index.
A separate evaluation of corporations listed on the Johannesburg Inventory Trade confirmed a median pay of R5.17 million ($359 265) for chief executives throughout all industries and R3.34 million for chief monetary officers, in keeping with the consultancy.
PwC omitted proportion adjustments in annual compensation because of the unquantified influence of Covid-19 and its evaluation excludes long-term incentives, leaving some South African executives wanting poorer.
South Africa is without doubt one of the world’s most unequal nations, a legacy of the apartheid system of racial discrimination that deprived the black majority and led to 1994. The federal government is finalising legislative adjustments geared toward narrowing the earnings hole between firm executives and the lowest-paid staff, in a rustic the place the official minimal wage is about R20 ($1.39) an hour.
“The time has come for leaders to step ahead, take motion and actively handle honest pay of their organisation,” mentioned Andreas Horak, PwC’s reward observe co-lead.
It’s essential for leaders to be seen as “dedicated to creating working environments wherein all staff are valued and rewarded and have equal alternatives to develop, develop and flourish” he mentioned.
© 2021 Bloomberg L.P.