Royal Mail’s president Moya Greene is to step down after more than eight years in charge with practically ₤ 1m in pay and bonus.
Rico Back, the head of Royal Mail’s parcels shipment arm GLS, will take over as the brand-new president, as was reported by Sky News last week.
Ms Greene, who had run the Canadian postal service for numerous years, guided the previous state monology through its controversial ₤ 3.3 bn privatization.
“When Moya took part the summer of 2010, the Company was balance sheet insolvent,” Peter Long, chairman of Royal Mail, stated.
“Since then, Royal Mail has been changed, including our privatisation in 2013 and two considerable, ground-breaking contracts with the CWU (Communication Workers Union).
“Alongside the strong financial position Moya has protected for the Company, we have invested over ₤ 1.5 bn in our UK operation in recent years. We are among the most favourably viewed brands in the UK”.
Ms Greene will receive a cash payment equivalent to 12 months’ base salary, or ₤ 547,000, and a cash reward of ₤ 367,000 when she leaves in September, Royal Mail stated.
Royal Mail is lawfully needed to make this payment to Ms Greene as part of her work contract, which was approved by Government in 2010 when the company was in state ownership.
The company floated on the London Stock Exchange at a cost of 330p. Shares are currently worth 563p, valuing Royal Mail at nearly ₤ 5.7 bn.
Ms Greene, who is a non-executive director of easyJet and trustee of Tate, will handle the role of non-executive director of miner Rio Tinto in the 2nd half of 2008.
When Ms Greene steps down the variety of female CEOs of FTSE 100 business will be up to five.
The consultation of German nationwide Mr Back underlines the value of the parcel business to Royal Mail’s future development. Mr Back is the founder of German Parcel, which was bought by the Royal Mail in 1999.