THE manager of AWB Limited's Geneva office earned twice as much as his boss last year.
The head of AWB's Geneva's office, Piero Ravano, was paid more than $2.9 million for the year ending September 30, 2009, thanks largely to a $2.3 million bonus.
AWB managing director Gordon Davis was paid $1.45 million during the same period, according to the company's financial report.
Mr Ravano was paid nearly $2.2 million in 2007-08, just behind Mr Davis' $2.3 million.
Mr Ravano's predecessor Thierry Dubois pocketed $6.75 million that year, largely due to a $6.5 million retirement benefit, after resigning in January 26, 2008.
An AWB spokesman said last year's bonus paid to Mr Ravano was because the job market was "very tight" when he was appointed to the position, although it was an internal appointment.
Executive pay, retention payments and bonuses for staff were hot topics at AWB's annual general meeting two weeks ago.
The questions come as the Productivity Commission released a report this week into company executive pay after concerns were raised about excessive payments to senior company personnel.
The report recommended an extraordinary general meeting to re-elect directors if remuneration reports were opposed two years in a row by a "no" vote of 25 per cent.
Risk management and corporate governance analyst RiskMetrics Group questioned why Mr Davis should receive a $280,000 bonus in 2008-09, given AWB suffered a $250 million loss and no dividends were paid to shareholders.
Collectively, AWB's senior management were paid $4.22 million in base salaries and fees, slightly lower than the $4.35 million paid in 2007-08.
Bonuses to the senior management were cut from $4.09 million in 2007-08 to $3.14 million last financial year.
But AWB brought forward accrual of nearly $1.2 million in "retention payments" to Mr Davis and his top six executives.
Shareholder activist Stephen Mayne said AWB's base pay was "at the top end".
AWB chairman Peter Polson said the bonuses were based on a "balanced scorecard".
Mr Polson said the bonuses were approved at the start of the financial year, well before losses in Brazil or the need for a write-down of Landmark Financial Services were discovered.
"When the board assessed each executive against the agreed objectives, it was clear the executives met many of the targets set by the board," he said.
"The board then exercised its discretion and reduced each executive's bonus by 30 per cent due to the poor financial performance of the company."
Mr Polson said base salaries for senior executives and middle management for 2010 had been frozen at 2009 levels.
