Shell CEO Sawan set to earn £4.5m more a year - report

Oil giant Shell is reportedly close to unveiling a revamped boardroom pay policy which would see chief executive Wael Sawan handed a multimillion-pound annual pay incentive.

According to Sky News, Shell has concluded a consultation with its largest shareholders which could result in Sawan earning at least £4.5m more every year.

Investor sources told Sky that Shell had drawn up plans to grant Sawan a long-term incentive stock award worth up to nine times his base salary of £1.54m. That would be a 50% increase on the current remuneration policy, under which the Shell CEO is eligible for an LTIP award of up to six times his salary.

Although the target award is significantly lower, in years of significant outperformance, it would mean Sawan being handed an annual long-term stock award worth £13.82m, assuming his salary remains fixed at the current level.

In addition to an annual bonus worth up to £3.84m, or 250% of his salary, that would make his total pay package, excluding pension contributions, worth up to £19.2m.

A spokesperson for Shell told Sharecast: "Every three years, Shell seeks shareholder approval for a new Executive Director remuneration policy as a standard part of regulations for UK listed companies. The last vote was in 2023, so this is part of the usual cycle.

"Final proposals will be published in the 2025 Annual Report on 12 March 2026 and voted on at the AGM."