This is in replacement of the supposed car allowance accorded to him

by AZREEN HANI / pic source fgvholdings.com

THE FGV Holdings Bhd board has appointed an independent consultant to conduct a review and benchmarking on the non-EDs’ remuneration. 

FGV said in a statement yesterday that the board was advised by the independent consultant that the car allowance accorded to the non-executive chairman Datuk Dzulkifli Abd Wahab (picture) be replaced with the provision of a company car.

This is due to the fact that it is not reflective of market and sectorial norms as companies do not generally monetise the provision of a company car benefit in the form of allowances.

The non-executive chairman was currently being accorded to receive on a cash basis — director fee of RM300,000 per annum (or RM25,000 per month) and car allowance of RM180,000 per annum (or RM15,000 per month).

“Pursuant to the advice, FGV board proposed to provide a company car to the non-executive chairman and maintain the amount of cash accorded to him previously by converting the car allowance of RM180,000 to board fees. Hence, there is no increase in the total cash received by the non-executive chairman,” FGV said.

The board members also received the nod for a 25% increase in their fees from RM120,000 to RM150,000.

FGV reiterated that its shareholders had approved the resolutions to increase the director fees for its chairman and directors at the AGM.

It also pointed out that the chairman’s allowances had been halved in 2019 from RM600,000 to RM300,000.

The company also added that Dzulkilfi did not make use of benefits he was entitled to in 2021 — allowances for entertainment, a club membership and a personal bodyguard.