On average, women on DAX boards earn significantly more than men
Status: 7:09 p.m. | Reading time: 2 minutes
Women are still underrepresented in management positions in listed companies. When it comes to salaries, however, the ratio is different, as a study by the consulting firm EY shows.
Fharsh are underrepresented on the executive floors of German listed companies – but on average they earn more there than their male colleagues. At 2.14 million euros, the remuneration of female board members in the Dax indices was around 23 percent or 400,000 euros higher than that of male board members, as the consulting company EY announced on Monday.
Accordingly, women have been ahead of their male colleagues in the so-called total direct remuneration since 2015. According to the EY, the reason is that women – although rarely found in the boardrooms of listed companies – are comparatively more likely to occupy higher-paid board positions. According to the information, a good twelve percent of all board seats in the German leading index Dax were occupied by women in 2019 – “in the lower-paying indices” MDax (seven percent) and SDax (five percent) it was significantly fewer.
According to its own information, EY only considered those members who sat on the board for the entire financial year. In addition, the company also omitted the CEOs “for reasons of comparability”. These once again receive significantly higher salaries than the rest of the board – and are currently all male in the 30 largest listed companies.
According to an EY analysis, the salaries of the executives under review in the Dax indices fell by 4.6 percent to an average of 1.99 million euros in 2019 due to the difficult economic situation in 2019. “Women had to accept a minus of 5.9 percent – the remuneration of men shrank by three percent,” said the consultants.
In the current year, the remuneration of the executive board will continue to fall: probably by ten to 15 percent. The Corona crisis “will have little impact on the basic and long-term remuneration, but it will certainly have an impact on the short-term annual bonuses of the board members,” explained EY expert Jens Massmann. He referred to the previously announced complete waiver of bonus payments by several companies.