FTSE250 GVC Holdings has confirmed that its executive committee members will take a 20% pay cut, while some staff have agreed to also forego bonus payments for 2020.
GVC’s Board and remuneration committee stated that it ‘would be appropriate’ for both the Board of Directors and Executive Committee to take a voluntary reduction in basic salary and fees for three months.
Bonus payments were due to be voted on at GVC’s Annual General Meeting which was due to take place yesterday, however, this has been postponed as a result of the pandemic.
It comes as the group looks to mitigate the impact of the global pandemic on its overall business strategy.
During April, GVC governance predicted that its EBITDA could fall by £50m per month, which is a significant drop from the initial £100m predicted in March. The drop came after the gambling group continued to initiate a number of mitigating actions in light of the COVID-19 pandemic.
The group noted that despite a strong performance at the beginning of the year, the closure of retail outlets and the widespread cancellation of sports has ‘significantly reduced revenue from mid-March’.