Former CBH boss Jimmy Wilson received $300,000 golden handshake

Former CBH chief executive Jimmy Wilson left the grain juggernaut with a golden handshake of nearly $300,000 after revelations his ambitious cost-cutting measures across the $4 billion co-operative fell short of aspirations. CBH’s annual report reveals Mr Wilson was handed a $299,719 payout “in lieu of notice upon termination” before he finished with the co-operative on June 30 — well before the company’s end of financial year on September 30. Mr Wilson was also given a $495,000 short term incentives bonus on top of his $713,000 salary and the $299,719 payout, and a pro-rata long term incentive payment of $338,839 for the period from October 1, 2020 to July 1, 2021. He also received an additional $15,000 in superannuation, and $9000 in other benefits including a car, parking, industry memberships, and health insurance. The report said the short term incentives bonus was based on “individual and group performance” against key result areas set by the CBH board each year, designed to “ensure an optimal balance between short and longer-term business performance”. “This structure ensures that the payment of short-term incentives to lead team members is linked to the enhancement of grower value, and more closely aligns the interests of lead team members and growers,” the report said. A CBH spokesman confirmed Mr Wilson was paid a total $1.87m for his 2021 financial year contractual entitlements. Mr Wilson took the reins of CBH in October 2017 after his 25-year career at BHP Billiton — where he was most recently the iron ore president — ended in 2016 following a management reshuffle. Mr Wilson replaced long-standing predecessor Andy Crane, and was tasked with cutting at least $100 million in costs per year. CBH last year admitted the undertaking had not gone entirely according to plan, with only about $65m achieved and WA’s export program in disarray because of supply chain issues with getting grain to the Geraldton, Albany, Kwinana and Esperance ports. Exacerbated by truck driver shortages, CBH’s annual report also revealed demurrage fees had cost the co-operative upwards of $17m and had put WA’s reputation as a reliable exporter at risk. Mr Wilson’s base salary varied during his four years at CBH, from $870,000 in 2017-18, to $895,000 in 2018-19, $926,000 in 2019-20, and $713,000 — taking into account his early exit — in 2020-21. Mr Wilson pocketed a $400,000 retention bonus in September 2020 for staying with the co-operative for an agreed three-year term. He signed a contract extension with no fixed-term in June 2020, but CBH board chair Simon Stead told media after Mr Wilson’s resignation that he had made it clear in signing the new contract that he would not be staying with CBH “much longer”. Former chief operations officer Ben Macnamara, who grew up on a farm at Williams, stepped into the CEO role in an acting capacity on July 1, before replacing Mr Wilson permanently earlier this month. CBH’s annual report showed Mr Macnamara’s base salary was $610,000 to September 30, which included an “increase in compensation” for additional responsibilities in the acting CEO role. He also received $22,000 in superannuation and $13,000 in other benefits, as well as $221,000 in a short term incentives bonus in the year to September 30. CBH declined to comment on what Mr Macnamara’s salary would be in the CEO role, saying it would be “in line with previous CEOs” and would be reported in full in the 2022 annual report once “achievement of incentives for the 2022 financial year” were finalised. Prior CEOs have pocketed between $800,000-900,000 with a total package — including bonuses — of about $2 million. Marketing and trading general manager Jason Craig was paid a $517,000 base salary, and a $261,000 short term incentives bonus, while CBH’s chief financial officer Doug Warden pocketed a $543,000 base salary before he left the company on August 31.