PwC Report Highlights Soaring Executive Pay Trends

South African executive compensation packages see double-digit growth according to new industry data.

Updated on Oct. 22, 2026 in Public Companies

PwC Report Highlights Soaring Executive Pay Trends

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PwC has released its 19th Directors' Remuneration and Trends Report, detailing significant increases in short and long-term incentives for South African executives. The analysis coincides with heightened shareholder scrutiny of pay structures across major listed companies.

Why it matters

Boards often utilise median benchmarking to justify annual pay increases, which creates upward pressure on executive remuneration. This practice increasingly clashes with shareholder interests, as evidenced by recent interventions regarding director fees.

Median short-term incentives surged by 42% for CEOs and 39% for CFOs. Meanwhile, Truworths CEO Michael Mark saw pay grow at an annualised rate of 11.5% between 2014 and 2025, despite the company share price declining by 2.8% annually.

The players

PwC

This global professional services network conducts annual research into corporate governance and remuneration trends.

Roy Bagattini

He previously served as the CEO of the retail giant Woolworths Holdings until his retirement.

Michael Mark

He serves as the CEO of the fashion retailer Truworths.

Pick n Pay

This major South African retail chain engages with shareholders during its annual general meetings regarding board compensation.

Woolworths Holdings

This JSE-listed retail group operates extensive food and fashion businesses across the country.

The details

The report highlights that boards frequently treat the median salary of their peers as a target, leading to inflation in fixed and variable pay. In some instances, shareholder pressure has forced companies like Pick n Pay to waive proposed fee increases for non-executive directors.

Between 2014 and 2025, Truworths CEO pay growth outpaced share price performance.
Roy Bagattini retired as Woolworths Holdings CEO on 31 May 2026.
Woolworths recorded a financial year end on 28 June 2026.
Pick n Pay held its annual general meeting in August 2026.
PwC released its report on 22 October 2026.

Market Landscape

The findings underscore a shift in corporate governance where companies must increasingly justify executive remuneration against performance. This positions firms under greater scrutiny from institutional investors who leverage engagement to curb excessive pay relative to share price declines.

Shareholders and retail investors should monitor annual general meeting outcomes, as these gatherings are now primary battlegrounds for challenging director fee hikes. Investors can use disclosed remuneration data to assess if executive incentives are truly aligned with long-term company share performance.

The takeaway

Executive pay packages are increasingly decoupling from company share price performance, creating friction between boards and shareholders. Investors should carefully scrutinise remuneration reports to ensure that management incentives correlate with actual value creation.