CIC chief Gitogo’s pay rises to Sh74m

CIC Group #ticker:CIC chief executive Tom Gitogo was paid Sh74.8 million in the year ended December, the insurer has disclosed in its latest annual report.

Mr Gitogo’s compensation rose 2.18 per cent from Sh73.2 million the year before.

The company said its remuneration levels take into account business performance and is also aimed at attracting and retaining the best talent.

“To retain and motivate such individuals requires compensation that is not only commensurate to their skill and time devoted to the company but also competitive,” CIC said in the report.

“The group has developed and put in place a remuneration policy for both the executive and non-executive directors that is transparent and considers the business needs and the overall performance of the business.”

Mr Gitogo earned a salary of Sh53.73 million or Sh4.47 million per month in the review period when he was also paid allowances of Sh21.1 million.

His salary stood at Sh52.16 million or Sh4.34 million per month the previous year when he earned allowances of Sh21 million.

Mr Gitogo did not get a bonus in the two years, having fallen short of the set targets.

“The remuneration for the executive director is as per a negotiated contract of employment. It incorporates a bonus scheme that is only triggered upon achieving various targets agreed with the board. The trigger was not reached in 2017 and 2018,” CIC said.

Mr Gitogo, whose contract runs until April 2020, has a gratuity of 31 per cent of basic pay at the end of the contract for each year worked.

The contract has a three-months termination notice.