PARIS Feb 23 French pharmaceuticals group
Sanofi came under fire from French government
ministers on Monday over a welcome bonus planned for its new
Sanofi's new boss, Olivier Brandicourt could pocket a
one-off golden handshake of 4 million euros ($4.5 million) in
addition to making 4.2 million euros a year.
Government spokesman Stephane Le Foll blasted the package
for the new boss of France's largest listed company as
"These people, when they have hardly taken the reins of a
company - which is to say they haven't yet taken any risk - are
already assured to get a disproportionate package," Le Foll said
on RTL radio.
The company said on Friday that the former medical doctor
would be paid a fixed salary of 1.2 million euros a year plus, a
performance-related amount targeted at 150 percent of that with
a cap at 250 percent. He would also get stock options and
His 4 million euro golden handshake on top of that was
billed as compensation for loss of benefits at his former
employer Bayer, and will be split between 2 million when he
starts in April and the rest in January 2016 if he is still in
Executive pay is frequently a touchy subject in egalitarian
France, even at investor-controlled companies like Sanofi, where
the government has no direct say in pay packages.
The Socialist government has set limits on executive pay for
public sector companies. Le Foll, who is also the farms
minister, said it could also make rules for private firms,
although it was up to them to show "a bit of ethics".
Senior government minister Segolene Royal weighed into the
debate with harsh words, also saying "some self-discipline is
"Drugs are reimbursed by taxpayers, so it's all of the
French people who pay into the health system and reimburse drugs
who are going to pay the golden handshake," Royal said on BFM
"Some decency is in store, especially from a pharmaceutical
company that lives off the social security system," added Royal,
who is energy and environment minister.
($1 = 0.8830 euros)
(Reporting by Leigh Thomas; Editing by Andrew Callus)