Thursday, 14 October 2021 15:38

LIC board pay rise knocked back

Written by  Sudesh Kissun
LIC chairman Murray King and other directors aren't getting a pay rise after shareholders narrowly voted down a proposal to lift board fees. LIC chairman Murray King and other directors aren't getting a pay rise after shareholders narrowly voted down a proposal to lift board fees.

Livestock Improvement Corporation (LIC) shareholders have voted against raising director fees.

A proposal by the LIC honoraria committee was narrowly defeated at LIC’s annual meeting today: 50.8% of those who voted opposed the increase while 49.25% were in favour.

The shock result means LIC chair and director fees remain the same as 2019, given there was no increase last year due to the impact of Covid. They remain  $123,600 for the chair and $54,000 for each director.

The honoraria committee proposed two increases to shareholders, including the pay rise put on hold last year.

For the chair, an increase of $6,400 for 2020 and $2,500 for 2021 was proposed. For directors $2,500 for 2020 and $3,500 for 2021 were on the table.

The committee also sought an extra $60,000 for a provisional fourth appointed director on the board. LIC has a nine member board: six farmer-elected and three appointed directors, all appointed for a three-year term.

In seeking the pay rise for directors, the honoraria committee told farmer shareholders it is imperative that LIC maintains a high calibre of directors.

“Elected directors bring a strong understanding of the co-operative as well as the New Zealand market.

“Appointed directors bring to the board a balance of skills and experience relating to international markets, mergers and acquisitions, health and safety, technology, finance and risk, and often have exposure to other complex businesses.”

However, the majority of voting shareholders did not agree.

The resolution on director remuneration was the only one voted down at the AGM, held online due to Covid restrictions.

Shareholders approved a pay rise for LIC Shareholder Reference Group members with 68% in favour of the resolution.

They also approved the re-election of appointed director Candace Kinser, with 87% in favour.

More like this

Sexed semen demand rises

The number of New Zealand dairy cows mated to sexed semen is set to double this year as farmers look to capitalise on the technology which delivers a 90% chance of producing a female calf.

Some LIC services to continue

Herd improvement company LIC says some of its services are deemed essential and will continue during the Level 4 lockdown.


Tatua smashes $10 barrier

Waikato milk processor Tatua says keeping products moving to overseas customers during the pandemic was one of the highlights of…

New regs boost Massey Ag course enrolments

Demand for expertise in sustainable nutrient management, environmental planning and improved freshwater outcomes has seen Massey University's range of agricultural…

Machinery & Products

Keeping everyone safe

As tractors get larger and front linkage kits become more common, many have started fitting underrun or collision protection systems.

Keeping stock and drivers safe

Livestock haulers are a crucial link in the New Zealand agriculture supply chain, transporting stock onto or between farms, to…

Making lamb marking easy

Designed by a sheep and beef farmer, Vetmarkers are made in New Zealand and sold around the world.

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Flag it!

OPINION: Agriculture and Trade Minister Damien O'Connor tried to keep his latest overseas jaunt secret squirrel.

Oh dear!

OPINION: This old mutt suggests that farmers' growing discontent with Beef+Lamb NZ's performance is going to reach fever peak after…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter