Peter Ndegwa earning Sh. 202 million salary as Safaricom CEO

Peter Ndegwa Salary: Safaricom chief executive officer peter Ndegwa took home a salary of Sh. 202 million in the financial year 2020. This was his first annual pay as Safaricom’s top executive. This meant that every month, Ndegwa earned a salary of Sh. 16.79 million.

His basic pay for the year ended March 31, 2021, stood at Sh. 102.3 million. He then received an additional Sh. 90 million bonus and Sh. 9.2 million in non-cash benefits.

Ndegwa’s first pay is higher than what the late Safaricom chief executive officer Bob Collymore earned in his last year as CEO. Figures show that Ndegwa’s salary is higher by Sh. 590,000. In addition, the salary makes up 42 per cent of Safaricom’s Sh. 469.7 million annual pay to directors for the year ended March 31, 2021.

In the same financial year, former Safaricom chief executive officer Michael Joseph received Sh. 127.5 million bonus pay. The pay, which now makes Joseph the highest paid board member in Kenya came at a period when Joseph had already relinquished his acting CEO role at Safaricom.

Joseph had acted as CEO following the death of former Safaricom CEO Bob Collymore. He however relinquished the role in the first quarter of 2020, with current CEO Peter Ndegwa taking over on April 1, 2020. Joseph remained as a non-executive director after his stint as acting CEO. On August 1, 2020 he took over as Safaricom’s Chairman following the retirement of long-serving chairman Nicholas Ng’ang’a.

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Besides the Sh. 127.5 million bonus that Joseph earned, Safaricom also paid him and addition Sh. 6.3 million for his role as chairman and non-executive director. This raised his total pay for the year under review to Sh. 133.8 million.

In the financial year ended March 2020, Joseph’s pay from Safaricom was Sh. 126.3 million. This included a salary of Sh. 88.4 million, a bonus of Sh. 23.4 million and a director’s fee of Sh. 360,000.

Safaricom currently pays its chairman Sh. 5.7 million per annum and a sitting allowance of Sh. 85,000 per meeting. Non-executive directors are paid fees of Sh. 2.2 million each per annum and are entitled to a sitting allowance of Sh. 60,000 per meeting. A person chairing a board committee is paid Sh. 74,150 per meeting.