Termination payments to CEOs of Australia’s largest listed companies have shrunk to their lowest levels in 15 years, new research from the Australia Council of Superannuation Investors (ACSI) shows.
The latest in ACSI’s long-running annual study, CEO pay in ASX200 companies reveals termination payments for ASX100 CEOs dropped to $8.38 million in FY24, down from $33.52 million the prior year. This is saving investors an average of half a million dollars per CEO termination as the average payment fell from $1.97 to $1.40 million. In part, this is due to fewer departures, but it forms part of a long-term trend that has seen egregious payouts shrink following changes to the Corporations Act post 2009’s Global Financial Crisis.
“Together, Australian investors and boards have used the changes to termination payments laws in 2009 to drive down the cost CEO departures,” Ed John, ACSI’s Executive Manager – Stewardship, said.
“Those changes have driven better accountability and avoided ‘golden parachutes’ which provide pay for failure to departing CEOs. This was a major issue in Australia, and we saw more than $80m of shareholders money paid to terminated CEOs in the year before the law changed.”
The research also shows fixed pay and total realised pay (which includes fixed pay and bonuses received) for ASX100 CEOs has been largely flat over the past decade. Median realised pay for ASX100 CEOs was $4.15 million compared to $3.96 million in FY14.
“While there will always be outliers, the long-term trends on fixed pay, realised pay and termination pay show that the diligence of Australian investors and boards are working. We have worked hard to avoid the eye-watering outcomes that we see in other markets like the US,” Mr John said.
Key findings:
- Termination payments cut – ASX100 CEO termination payments were at their lowest level in 15 years, dropping to $8.38 million in FY24, down from $33.52 million. Investors are saving on termination costs as the average payout per CEO fell from $1.97 to $1.40 million.
- Realised pay – ASX100 CEO pay has flattened over the last decade, with the median realised pay at $4.15 million compared to $3.96 million in FY14. Average realised pay for ASX100 CEOs was 55 times the average earnings of an Australian worker, down from to 71 times in FY14.
- Smaller company CEO pay increasing with the highest paid Australian-based CEO coming from outside the ASX100. Global jewellery chain Lovisa’s CEO, Victor Herrero, received the highest realised pay of the 150 CEOs in the sample, taking home $39.55 million (Mr Herrero left the company in May 2025). CEO pay in the smaller companies in the ASX101-200 has increased over time with the median climbing from $1.74 million in FY14 to $2.17 million in FY24.
- US-based CEOs continue to feature heavily in the top 20 highest paid CEOs on a realised pay basis with News Corporation CEO Robert Thomson topping the list with realised pay of $41.88 million.
- Bonuses remain persistent – It remains rare for CEOs to miss out on a bonus. Of the 142 CEOs eligible for a bonus in FY24, only five received zero. In FY24, the median CEO bonus was paid at just under 66% of maximum in line with the long term trend.
20 highest-paid ASX200 CEOs on a realised-pay basis in FY24 (foreign-based company CEOs in italics)
Rank | CEO | Company | Realised Pay | 1yr TSR | 5 yr TSR (pa) |
1 | Robert Thomson | News Corporation | $41,877,137 | 45.8% | 18.0% |
2 | Victor Herrero | Lovisa Holdings | $39,551,475 | 75.6% | 27.4%1 |
3 | Shemara Wikramanayake | Macquarie Group | $29,762,181 | 18.4% | 13.2% |
4 | Greg Goodman | Goodman Group | $26,829,318 | 74.9% | 20.1% |
5 | Mick Farrell | ResMed | $20,052,189 | -10.6% | 11.8% |
6 | Mike Henry | BHP Group | $19,282,065 | 0% | 11.1% |
7 | Jakob Stausholm | Rio Tinto | $19,064,743 | -8.5% | 11.2%2 |
8 | Chris Ellison | Mineral Resources | $14,752,626 | -23.5% | 33.5% |
9 | Rob Scott | Wesfarmers | $12,977,472 | 36.5% | 17.4% |
10 | Stuart Irving | Computershare | $11,440,890 | 16.2% | 13.7% |
11 | Paul Flynn | Whitehaven Coal | $10,675,482 | 23.1% | 22.8% |
12 | Tom Palmer | Newmont Mining | $10,672,229 | -0.4% | N/A |
13 | Matthew Wilson | Light & Wonder | $10,560,355 | 13.6% | N/A |
14 | Trevor Croker | Aristocrat Leisure | $10,499,686 | 45.8% | 15.4% |
15 | Aaron Erter | James Hardie Industries | $9,913,894 | 93.6% | 29.1%3 |
16 | Colin Goldschmidt | Sonic Healthcare | $9,436,466 | -23.4% | 2.4% |
17 | Dale Henderson | Pilbara Minerals | $9,220,7604 | -35.2% | 45%5 |
18 | Matt Comyn | Commonwealth Bank of Australia | $9,087,166 | 32.4% | 13.6% |
19 | Graham Chipchase | Brambles | $9,065,372 | 3.8% | 5.8% |
20 | David Cataford | Champion Iron | $8,579,353 | 7.3% | 30.2% |