Unilever Seeks Approval to Raise CEO Pay from €5.6m to €23.8m
Unilever says UK governance and pay rules prevent hiring top US executives by forcing pay packages that outpace UK peers and create pay compression. It will advance its pay review and request shareholder approval to raise CEO Fernando Fernandez’s package from €5.6m in 2025 to a possible €23.8m.
1. Hiring Challenge in US Market
Unilever reports that Britain’s restrictive governance and remuneration environment prevents it from matching the compensation of top US candidates, leading to pay packages that exceed those of UK counterparts and create significant compression issues.
2. Early Remuneration Policy Review
To address these hurdles, Unilever will accelerate its remuneration policy review by one year, engaging shareholders and institutional investors for approval to adjust executive pay structures more rapidly than the usual three-year cycle.
3. CEO Compensation Breakdown
Fernando Fernandez’s final 2025 pay was €5.6m, including a €1.75m bonus. Under current targets, his 2026 package could reach €10m, with a maximum potential of €23.8m if Unilever’s share price rises by 50%.