Outgoing CEO gives employees $13.6m cash

Outgoing CEO gives employees $13.6m cash

The Chicago-born CEO of a Welsh insurance company is giving £1,000 (S$1,964) to each of his employees as a parting gift when he leaves his role in May.

Henry Engelhardt, the outgoing CEO of the Admiral Group, and his wife announced Thursday they would part with £7 million of their own money and split it between every full-time member of staff with at least one year's service. All other staff will be given £500.

The company, mostly known for its car insurance brand in the UK, employs 7,000 people in total with operations in countries such as Wales, England, India and Italy. A spokesperson for the company told CNBC that the gift would be paid into employee's salaries and would be taxed in the normal way.

"Saying thank you to all the Admiral staff who work so hard every day to make Admiral great is the most important thing we can do. We are making this gift in recognition of the hard work and team spirit that has underpinned Admiral's success as we've grown from a start-up with value of £0 to a FTSE 100 company with a value of £5 billion today," Engelhardt said in emailed statement on Thursday.

"My wife and I just want to say a very sincere thank you to everyone at Admiral."

Engelhardt announced a year ago that he would be stepping down from the CEO role which he has held since the company's creation in 1991. Known for his slightly different approach to leadership, Engelhardt helped to set up the Ministry of Fun at Admiral which organises events for everyone in the company and ensures there's regular entertainment.

A cash payment is a little different to the typical gifts announced by CEOs who more often than not offer shares in the company. Other CEOs also make large contributions to charitable organisations when retiring or leaving the role.

Billionaire Richard Branson is no stranger to slightly unorthodox perks for his own employees. The Virgin founder has introduced a flexible vacation policy but has also offered new parents up to a year's parental leave on full pay.

More about

Purchase this article for republication.

BRANDINSIDER

SPONSORED

Most Read

Your daily good stuff - AsiaOne stories delivered straight to your inbox
By signing up, you agree to our Privacy policy and Terms and Conditions.