KenGen’s #ticker:KEGN new chief executive Rebecca Miano was paid Sh11.2 million in the year ended June, equivalent to less than half her predecessor Albert Mugo’s earning.
The Nairobi Securities Exchange-listed firm disclosed the remuneration of its directors in its latest annual report. Mrs Miano, who was appointed acting CEO in August 2017, and confirmed two months later, earned 47 per cent of Mr Mugo’s compensation of Sh23.7 million in the year ended June 2017.
At Sh11.2 million, her pay is also one of the lowest among publicly traded firms, ranking below Unga Group #ticker:UNGA, Deacons East Africa #ticker:DCON, and National Bank of Kenya #ticker:NBK CEOs who are paid Sh15.1 million, Sh22.8 million, and Sh48 million respectively per year.
Mrs Miano’s entire compensation is in the form of a salary, lacking other perks such as allowances, cars, school fees, airplane tickets and home security that other listed firms have bestowed on their CEOs.
“Mrs Miano is responsible for the operational running of the company to ensure that the mission is achieved, and efficacy is optimised,” KenGen said in the report.
“The CEO is accountable for the company’s actions, security of resources as well as ensuring execution of the identified corporate strategy for long term competitiveness.”
Like most other listed firms, KenGen does not state specific performance targets expected of its CEO and incentives offered to ensure they are attained. The State-owned firm says its staff pay structure is guided by government policy.
“The directors’ remuneration rates are as outlined in the State Corporations Act and by the Salaries and Remuneration Commission,” KenGen said in the report.