ANZ’s board of directors has suffered a significant blow after receiving a ‘second strike’ against its remuneration report. According to an ASX filing of proxy votes ahead of the bank’s annual meeting in Sydney, a substantial number of shareholders voted against the report, reflecting investor discontent. ANZ is one of Australia’s leading banks, providing a range of financial products and services to retail, commercial, and institutional customers. The ‘second strike’ intensifies pressure on the board, particularly chairman Paul O’Sullivan, following a year marked by governance failures.
The protest vote was fuelled by recommendations from major proxy firms ISS and CGI Glass Lewis. These firms argued that former CEO Shayne Elliott should have faced greater reductions to his entitlements earned in previous years. Elliott himself recently initiated legal action against the company, claiming entitlement to additional bonus payments. The series of events has cast a shadow over ANZ’s governance practices and executive compensation policies.
The proxy votes revealed that 32.36 per cent of shareholders opposed the remuneration report. However, an overwhelming majority, 97.73 per cent, voted against ousting the board. O’Sullivan is expected to address shareholder concerns during the annual meeting at the International Convention Centre.
