Stellenbosch – Capitec, South Africa’s second-largest retail bank, has released its annual remuneration report, revealing the significant earnings of its CEO, Gerrie Fourie. According to the report, Fourie earned an impressive R62 million during the 2022/23 financial year, equivalent to R170,109 per day.
Although Fourie’s payday was substantial, his earnings represented a 33% decrease from the R97.77 million he received in the previous financial year. The report also disclosed the salaries of other Capitec executives. Former CFO Andre du Plessis earned R31.05 million, CRO Nkosana Mashiya received R14.4 million, and current CFO Grant Hardy earned R6.9 million. Together, the four executives earned a combined total of R114.5 million.
In contrast, Capitec spent approximately R6.2 billion to pay its 15,451 employees, averaging around R401,269 per employee. This means that the average executive earned 71 times more than the average employee, while the CEO made 154 times more.
Capitec faced criticism in 2022 for the large bonuses awarded to executives while the country was still grappling with the effects of the Covid-19 pandemic. Many South Africans expressed their disbelief and outrage at the exorbitant salaries, highlighting the vast income inequality and lack of benefits for the bank’s ground-level employees.
Capitec provides banking services to 20.1 million clients, which accounts for over a third of the South African population. However, new data from the bank has revealed that its clients became poorer in the financial year that ended in February. South African income levels have struggled to keep up with rising inflation, exacerbating the financial difficulties faced by citizens.
In summary, Capitec CEO Gerrie Fourie earned R62 million in the 2022/23 financial year, making approximately R170,109 per day. The substantial earnings of Capitec executives have sparked controversy, with many South Africans criticizing the glaring income disparity within the company. As the bank’s clients continue to face financial challenges, the issue of income inequality remains a significant concern for the nation.
Source: Editorial Times