Shell boss van Beurden sees annual pay drop 8%

The chief executive of oil giant Royal Dutch Shell saw his pay decline 8% last year as the collapse in the oil price dented profit.

In its annual report, the company said Ben van Beurden’s total direct remuneration dropped to €5.14m (£4m) from €5.6m.

His total remuneration including pension and tax equalisation, fell to €5.58m from €24.2m in 2014 as the value of his pension in 2014 was lifted by his promotion to the role of chief executive.

His salary, meanwhile, was fairly steady at €1.47m compared with €1.44m the previous year, but van Beurden’s bonus edged up to €3.5m from €3.3m.

“The CEO provided strong leadership both strategically and operationally. He adapted the structure and leadership of the organisation to the envisaged future with a strong focus on deep water and integrated gas, and showed visible hands-on leadership in the whole process of the BG acquisition, accelerating the benefits of the new organisation.

“He also significantly reduced capital investment with bold decisions such as exiting Alaska and stopping work on the Carmon Creek project in Canada,” the report said.

Last week, BP’s annual report revealed that chief executive Bob Dudley enjoyed a 20% increase in his 2015 pay package to $19.6m, even though the company posted its worst annual loss in 20 years on the back of falling oil prices.