Connect with us

Business

Anger as Nationwide refuses members a binding vote on boss’s 43% pay hike | Executive pay and bonuses

Published

on


Nationwide is under fire for refusing to give members a binding vote on a controversial 43% pay rise for its chief executive, Debbie Crosbie, which could total up to £7m.

Campaigners say it leaves the mutual’s members with fewer rights than shareholders of listed UK banks and exposes a worrying “loophole” in building society rules.

Nationwide argues that after its £2.9bn takeover of Virgin Money Crobie’s pay should compete with that offered by banks such as Lloyds and NatWest. However, the board is only offering members an “advisory” vote at its annual general meeting (AGM) on 25 July, meaning there are no repercussions if they reject it.

Large high street banks are required to hold a binding vote on their pay policies at least once every three years, under laws governing large businesses listed on the London Stock Exchange. If shareholders reject the policy, they have to revert to the old pay plan and put a revised pay deal to shareholders within 12 months.

Nationwide could do the same, but said it is already going further than required under the Building Societies Act, which only requires binding votes for the election of board members.

“As part of our commitment to member engagement and transparency, Nationwide voluntarily puts the remuneration policy to the membership on an advisory basis at the AGM and we currently have no plans to change this approach,” a spokesperson said.

While Nationwide has never held a binding vote on pay, it has also never proposed such a large renumeration package for its chief executive, which could result in a record payout worth up to £7m from current levels of £4.8m. That is close behind NatWest Group, which in April secured backing for a package worth up to £7.7m for chief executive Paul Thwaite.

Luke Hildyard, the director of the High Pay Centre thinktank, described the situation as a “loophole in the governance of building societies”.

“Mutuals are supposed to have a more collective approach to business than corporate banks, but while the banks are required to revise pay policies that are rejected by a majority of shareholders, and provide a response to the stock market if more than 20% vote against, building societies can in theory ignore their members.”

“The Nationwide case, where there may be significant discomfort with the huge pay out planned for the chief executive, highlights the need for the loophole to be closed,” he said.

Crosbie’s £7m pay deal has angered some members. “I’m a Nationwide customer and didn’t know about this? Please send me a voting form immediately,” one posted on X. “Building societies are supposed to be the good guys. The apple has fallen far from the tree,” another claimed.

Sara Hall, the co-executive director at campaign group Positive Money said Nationwide “hiking its chief executive’s pay because that’s what the big banks are doing would be completely at odds with what building societies are supposed to stand for”.

skip past newsletter promotion

The move is “counterintuitive for an institution whose main selling point is putting its customers before shareholders”, Hall added.

A Nationwide spokesperson pushed back against the criticism, saying its pay proposals – although advisory – “always received overwhelming member support”.

“Any suggestion that we would ever ignore a vote against it is simply ridiculous. We always consider their views and at the last AGM over 94% of votes were in favour of the proposed remuneration policy,” they said.

“Nationwide delivered record member value last year, we are still first for customer satisfaction among high street banks, and more people switched their current accounts to Nationwide than to any other brand.

“We have managed this because we can attract, retain and motivate talented leaders. Even after the changes that are being proposed at the AGM, Nationwide’s chief executive will still be paid substantially less than the other large banks.”



Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Maternity brand Seraphine worn by Kate enters administration

Published

on


The maternity fashion retailer Seraphine, whose clothes were worn by the Princess of Wales during her three pregnancies, has ceased trading and entered administration.

Consultancy firm Interpath confirmed to the BBC on Monday that it had been appointed as administrators by the company and that the “majority” of its 95 staff had been made redundant.

It said the brand had experienced “trading challenges” in recent times with sales being hit by “fragile consumer confidence”.

The fashion retailer was founded in 2002, but perhaps hit its peak when Catherine wore its maternity clothes on several occasions, leading to items quickly selling out.

Prior to the confirmation that administrators had been appointed, which was first reported by the Financial Times, Seraphine’s website was offering discounts on items as big as 60%. Its site now appears to be inaccessible to shoppers.

The main job of administration is to save the company, and administrators will try to rescue it by selling it, or parts of it. If that is not possible it will be closed down and all its saleable assets sold.

Will Wright, UK chief executive of Interpath, said economic challenges such as “rising costs and brittle consumer confidence” had proved “too challenging to overcome” for Seraphine.

Interpath said options are now being explored for the business and its assets, including the Seraphine brand.

The retailer’s flagship store was in Kensington High Street, London, but other well-known shops, such as John Lewis and Next, also stocked its goods.

The rise in popularity of Seraphine, driven in part by Royalty wearing its clothes, led to the company listing on the London Stock Exchange in 2021, before being taking back into private ownership in 2023.

Interpath said in April this year, the company “relaunched its brand identity, with a renewed focus on form, function and fit”.

“However, with pressure on cashflow continuing to mount, the directors of the business sought to undertake an accelerated review of their investment options, including exploring options for sale and refinance,” a statement said.

“Sadly, with no solvent options available, the directors then took the difficult decision to file for the appointment of administrators.”

Staff made redundant as a result of the company’s downfall are to be supported making claims to the redundancy payments service, Interpath added.



Source link

Continue Reading

Business

Can AI run a successful vending business? An AI startup tested it out

Published

on


Because AI isn’t (yet) able to physically restock the machine, the AI model could email company employees who handled such tasks. Beyond that, however, the AI model, dubbed Claudius for the experiment, was tasked with many of the responsibilities of a traditional operator, including selecting and maintaining inventory, setting prices and maximizing profit.

The upshot: “If Anthropic were deciding today to expand into the in-office vending market, we would not hire Claudius,” the company wrote in its blog.

The experiment showed that while the AI model was effective at tasks such as identifying suppliers, adapting to users’ requests and “jailbreak resistance,” as Anthropic employees tried to trick Claudius into stock sensitive items, Claudius failed as a convenience service operator because it ignored profitable opportunities, instructed customers to make payments at a Venmo address it had imagined (instead of the one created), sold products at a loss, offered excessive discounts and mismanaged inventory.

Although version one of Project Vend wasn’t successful at the bottom line, Anthropic predicts that AI middle managers will come to pass. “It’s worth remembering that the AI won’t have to be perfect to be adopted; it will just have to be competitive with human performance at a lower cost in some cases,” the company wrote in its blog.

Read the full story here.



Source link

Continue Reading

Business

Suntory Global Spirits chooses Globant to build a Commercial Insights AI Agent and unlock Business Intelligence at Scale

Published

on


Suntory Global Spirits chooses Globant to build a Commercial Insights AI Agent and unlock Business Intelligence at Scale

Suntory Global Spirits chooses Globant to build a Commercial Insights AI Agent and unlock Business Intelligence at Scale

PR Newswire

NEW YORK, July 7, 2025


  • Globant is partnering with Suntory Global Spirits to build a generative AI-powered Commercial Insights Agent
  • With the Agent, Suntory Global Spirits employees can access data insights and self-service intelligence, speeding up decision-making across product development, marketing, sales and strategy

NEW YORK, July 7, 2025 /PRNewswire/ — Globant (NYSE: GLOB), a digitally native company focused on reinventing businesses through innovative technology solutions, today announced a reinvention partnership with Suntory Global Spirits, the world leader in premium spirits, to build and deploy a generative AI-powered Commercial Insights Agent. By compressing days of work into seconds and supporting real-time decision-making for sales, marketing, and strategy, Globant’s Commercial Insights Agent is transforming operations for the beverage company.



The AI-powered agent can interpret complex business questions across dashboards, reports, and unstructured documentation for Suntory Global Spirits, eliminating the need for manual insight requests. By automating insight retrieval, the Commercial Insights Agent reduces operating costs tied to traditional business intelligence workflows and significantly reduces time-to-action. What once required multiple cycles of back-and-forth between business and analytics teams can now be executed on demand, freeing up employees to focus on higher-value strategic tasks.

“Our work with Suntory Global Spirits exemplifies how visionary companies can harness the power of agentic and generative AI to fundamentally transform the way they operate,” said Santiago Noziglia, Retail, CPG and Automotive AI Studio CEO at Globant. “The Commercial Insights Agent is more than a productivity tool; it’s a strategic enabler that redefines how teams access knowledge, make decisions, and unlock growth. Together, we’re pushing the boundaries of what’s possible when building an AI-powered enterprise.”

Additional benefits of the Commercial Insights Agent include:

  • Self-serve decision support at scale: Teams at Suntory Global Spirits, especially across marketing, sales and product management, can independently access data insights, ask questions, or generate reports without bottlenecks or dependencies on other teams.
  • Contextual recommendations powered by GenAI: The Commercial Insights Agent is trained on internal data to provide contextual GenAI recommendations that speed up decision-making.
  • AI Agent foundation: The Commercial Insights Agent is just the beginning for Suntory Global Spirits, which can now use the agent as a template for new use cases across brand planning, commercial forecasting and innovation pipelines.

To learn more about Globant’s AI-powered tools, visit https://www.globant.com/enterprise-ai.

About Globant

At Globant, we create the digitally-native products that people love. We bridge the gap between businesses and consumers through technology and creativity, leveraging our expertise in AI. We dare to digitally transform organizations and strive to delight their customers.

  • We have more than 31,100 employees and are present in 36 countries across 5 continents, working for companies like Google, Electronic Arts, and Santander, among others.
  • We were named a Worldwide Leader in AI Services (2023) and a Worldwide Leader in Media Consultation, Integration, and Business Operations Cloud Service Providers (2024) by IDC MarketScape report.
  • We are the fastest-growing IT brand and the 5th strongest IT brand globally (2024), according to Brand Finance.
  • We were featured as a business case study at Harvard, MIT, and Stanford.
  • We are active members of The Green Software Foundation (GSF) and the Cybersecurity Tech Accord.

Contact: pr@globant.com
Sign up to get first dibs on press news and updates.
For more information, visit www.globant.com.



View original content to download multimedia:https://www.prnewswire.com/news-releases/suntory-global-spirits-chooses-globant-to-build-a-commercial-insights-ai-agent-and-unlock-business-intelligence-at-scale-302499192.html

SOURCE GLOBANT


The articles, information, and content displayed on this webpage may
include materials prepared and provided by third parties. Such
third-party content is offered for informational purposes only and
is not endorsed, reviewed, or verified by Morningstar.

Morningstar makes no representations or warranties regarding the
accuracy, completeness, timeliness, or reliability of any third-party
content displayed on this site. The views and opinions expressed in
third-party content are those of the respective authors and do not
necessarily reflect the views of Morningstar, its affiliates, or employees.

Morningstar is not responsible for any errors, omissions, or delays
in this content, nor for any actions taken in reliance thereon.
Users are advised to exercise their own judgment and seek independent
financial advice before making any decisions based on such content.
The third-party providers of this content are not affiliated with
Morningstar, and their inclusion on this site does not imply any
form of partnership, agency, or endorsement.



Source link

Continue Reading

Trending