Remuneration of company administrators | the millions of bosses

Who are Quebec’s highest-paid bosses and the most generous companies to their leaders? The press compiles its annual list. An archive by Martin Vallieres

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Martin Vallieres

Martin Vallieres
The press

Rebound pays off for leaders

Quick return to pre-pandemic situation? This is the finding that emerges from the analysis of the remuneration of the most senior executives of companies based in Quebec and whose stock market value exceeds US$ 500 million.

“Following the symbolic gestures to limit or decrease the amount of compensation for top executives that had been made during the first year of the pandemic in 2020, we are witnessing a strong return of compensation policies based mainly on short-term financial criteria”, notes Michel. Magnan, professor and researcher at the Jarislowsky Chair in Governance at the Molson School of Management at Concordia University in Montreal.

“In a context in which corporate results and stock markets recovered strongly in 2021, after a year marked by the socio-economic shock of the beginning of the pandemic, the values ​​of the remuneration of top executives of companies benefited from very strong favorable winds. »

As evidence, among the 47 companies established in Quebec and with a market value of more than 500 million, a dozen of them increased the value of the total compensation of their senior executives by more than 20% during the 2021 fiscal year. (salary, bonus and other benefits).

Furthermore, among the fifty or so presidents of these companies – some have two presidents, a director of the board or an executive director – half have benefited from an increase of more than 20% in the amount of their total compensation. in 2021.

A dozen of these presidents even benefited from an increase of more than 50% in the value of their remuneration in 2021 compared to the previous year.

“The impacts of the pandemic on the economy in the last two years have caused several tests of leadership among senior business leaders, underlines Michel Magnan.

“On the other hand, the way most senior executive compensation policies work, based mainly on earnings calculations and financial ratios, it is very difficult to distinguish the actual results of their crisis management from the effects arising from the strong performance of North American companies. -American stock markets in 2021 and the recovery of the economy after the initial shock of the pandemic. »

Did these senior executives really show “responsible leadership” to justify these pay increases? If so, according to what criteria in the remuneration policy of the company they manage?

Michel Magnan, professor and researcher at the Jarislowsky Chair in Governance at the Molson School of Business at Concordia University

In the opinion of François Dauphin, CEO of the Institute of Governance of Private and Public Organizations (IGOPP), the integration of objectives and criteria “beyond financial and less focused on the short term” remains a challenge for senior executives and directors.

“Despite the efforts and interventions of a growing number of large investors [institutionnels] in this sense, there are no real reference standards for the inclusion of qualitative factors in the remuneration policies of senior executives”, highlights François Dauphin.

“For example, in terms of objectives related to ESG criteria [environnement, société, gouvernance], begins to fit into compensation policies in response to the demands of each company’s most influential investors. But this trend is slowed by the insufficiency of benchmarks beyond the scales determined internally in each company. »

The five highest paid executives

Philip Fayer, Nuvei


CANADIAN PRESS PHOTO FILE

  • Total remuneration: 140.8 million
  • Change over a year: + 2983% (x 30)

Joseph C. Papa, Bausch Health


PHOTO ALAIN ROBERGE, LA PRESSE ARCHIVES

  • Total remuneration: 28.7 million
  • Change over a year: +52%

Alain Bedard, TFI International


PHOTO MARCO CAMPANOZZI, PRESS FILE

  • Total remuneration: 16 million
  • Change over a year: +26%

Glenn J. Chamandy, Gildan


PHOTO PATRICK SANFAÇON, LA PRESSE ARCHIVES

  • Total remuneration: 14.5 million
  • Change over a year: -34%

Jean-Jacques Ruest, Canadian National


PHOTO ROBERT SKINNER, LA PRESSE ARCHIVES

  • Total remuneration: 13.5 million
  • Change over a year: +5%

The list of salary increases


INFOGRAPHIC THE PRESS

As the remuneration of the top executives of the main companies of Québec inc. in the stock market for a year? Highlights of the annual compilation made by business press.

Biggest increases among presidents

Nearly thirty presidents of Quebec inc. on the stock exchange benefited from an increase of more than 15% in their total remuneration (salaries, bonuses and other benefits) during the 2021 financial year. And among them, a dozen benefited from an increase of more than 50% compared to the previous year financial in 2020. But the absolute record goes to Philip Fayer, chairman and chief executive officer of electronic payment systems company Nuvei. His compensation amount, which is mainly composed of stock bonuses and future stock options, skyrocketed to C$140.8 million with Nuvei’s listing on the NASDAQ stock exchange in the United States.

Philip Fayer, President and CEO of Nuvei


NUVEI WEBSITE PHOTO

Philip Fayer, President and CEO of Nuvei

Ecommerce Payment Systems, NASDAQ listing October 2021

  • Total compensation in 2021: +2,982% (x 30) to 140.8 million
  • Nuvei’s 2021 revenues: $724.5 million (+92% YoY)
  • Nuvei’s 2021 net income: $107 million (2021 loss of $100.5 million)

Marc Bédard, President and Founder of Lion Electric


PHOTO ROBERT SKINNER, LA PRESSE ARCHIVES

Marc Bédard, President and Founder of Lion Electric

Manufacturer of electric buses and trucks, listed on the Toronto and New York stock exchanges in May 2021

  • Total pay in 2021: +150% to $735,000
  • Lion Electric 2021 revenues: US 57.7 million (+146% year-over-year)
  • Lion Electric’s 2020 net loss: US 42.3 million (US 97.3 million in 2020)

Pierre Karl Péladeau, President and CEO, Quebecor


PHOTO HUGO-SÉBASTIEN AUBERT, LA PRESSE ARCHIVES

Pierre Karl Péladeau, President and CEO, Quebecor

Telecommunications and media

  • Total remuneration in 2021: +147% to 2.58 million
  • Quebecor’s 2021 revenue: 4.55 billion (+5.5% in one year)
  • Quebecor’s 2021 net income: 588.4 million (-4.7% year-on-year)

George D. Schindler, President and CEO, CGI


PHOTO FRANÇOIS ROY, LA PRESSE ARCHIVES

George D. Schindler, President and CEO, CGI

IT management consulting service

  • Total remuneration in 2021: +124% to 10.79 million
  • CGI revenues in 2021: 12.12 billion (-0.3% year-over-year)
  • CGI’s 2021 net income: 1.37 billion (+22% in one year)

Jonathan Ross Goodman, Executive Chairman, Knight Therapeutics


PHOTO ANDRÉ PICHETTE, LA PRESSE ARCHIVES

Jonathan Ross Goodman, Executive Chairman, Knight Therapeutics

Pharmaceutical product development

  • Total remuneration in 2021: +117% to 1.86 million
  • Knight Therapeutic Revenues in 2021: 243.4 million (+22% year-over-year)
  • Knight Therapeutic’s 2021 net income: 15.67 million (-62% year-over-year)

Biggest raises among senior management


INFOGRAPHIC THE PRESS

A dozen Quebec companies inc. on the stock exchange increased the value of the total compensation of their senior executives by more than 20% in fiscal year 2021. Unusual fact during a strong year on the stock exchange: two of these companies, Nuvei (electronic payments) and Repare Therapeutics ( pharmaceutical), stand out with dramatic increases in the total compensation of their senior executives after listing on the NASDAQ stock exchange in the United States.

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PHOTO PROVIDED BY NUVEI

Ecommerce Payment Systems, NASDAQ listing October 2021

  • Total compensation of senior executives in 2021: +2866% (x 29) to 205.7 million
  • 2021 Revenue: $724.5 million (+92% year-over-year)
  • 2021 net income: $107 million (2020 loss of $100.5 million)

CGI


PHOTO FRANÇOIS ROY, LA PRESSE ARCHIVES

IT management consulting service

  • Total executive compensation in 2021: +111% to 30.8 million
  • Revenues in 2021: 12.12 billion (-0.3% in one year)
  • Net income in 2021: 1.37 billion (+22% in one year)

Uni-Selection


PHOTO MARTIN CHAMBERLAND, LA PRESE ARCHIVES

Distributor of road vehicle repair parts

  • Total executive compensation in 2021: +88% to 19.1 million
  • Revenues in 2021: US 1.61 billion (+9.5% in one year)
  • 2021 net income: $895,000 (2020 loss of $31.5 million)

Therapeutic Repair


PHOTO PROVIDED BY REPARE THERAPIST

Drug development in oncology, on the NASDAQ Stock Exchange since June 2020

  • Total remuneration of senior executives in 2021: +78% to 18.1 million
  • Revenue in 2021: $7.6 million ($135,000 in 2020)
  • 2021 net loss: US$106.9 million (US53.4 million in 2020)

Bausch Health


PHOTO ALAIN ROBERGE, LA PRESSE ARCHIVES

Pharmaceutical product development

  • Total compensation of senior executives in 2021: +57% to 66.1 million
  • Revenues in 2021: $8.44 billion (+5%)
  • 2021 net loss: US$937 million (US560 million in 2020)

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