Tesco boss pays taxes in Ireland – source
TESCO boss Ken Murphy has received £4.44m this year, an amount likely to spark outrage amid the cost-of-living crisis and soaring food inflation more than 15%.
The CEO’s salary is down slightly from the £4.75 million earned in 2022.
City sources say Murphy, who was born in Cork, is tax registered in Ireland and pays a lower tax rate there than here.
Tesco has been approached for comment.
Rival Sainsbury’s paid chief executive Simon Roberts £3.8m in 2022, 183 times more than the supermarket employee average.
Tesco’s chief financial officer, Imran Nawaz, was paid £2.27m versus £1.91m.
Tesco, as the UK’s largest grocer, posted £57.7 billion in revenue last year, resulting in a £2.6 billion profit.
While that’s a relatively narrow margin, concerns that the industry is exploiting inflation to unfairly push up prices remain.
Consumers are angered by rising prices and this morning MPs from the Treasury’s environment, food and rural committee said they were opening an investigation into “fairness in the food supply chain”. Products”.
In today’s annual report, Tesco says “our great team of colleagues is at the heart of Tesco”. The company recently announced an hourly wage increase to £11.02 for its 254,000 UK employees.
Murphy’s salary is similar to that of his predecessor Dave Lewis, although Lewis received £6.3m in 2019.
It is still around 200 times higher than the average Tesco salary, which is usually around £20,000. Tesco points out that it has a large number of part-time employees.
Tesco’s GPG (gender pay gap) increased to 6.9%, less than half of the UK average of 14.9%.
The annual report says: “Our GPG is due to two main factors. The first is that there are many male colleagues in our higher-level roles. We are committed to increasing the proportion of female colleagues in such roles to ensure our leadership team is a true reflection of our broader client base and co-worker population. We will continue to promote the representation of women in all roles to bridge the gap.”