RIO

Rio Tinto cuts CEO, executive bonus after caves blast review

Credit: REUTERS/JASON REED

Adds details on bonus cut, background

Aug 24 (Reuters) - Rio Tinto RIO.AX said on Monday it will cut the short-term bonuses of its chief executive and two other senior executives following a review of the company's destruction of two ancient caves in Australia.

The world's biggest iron ore miner destroyed two historically significant sacred caves in Western Australia state in May - against the wishes of Aboriginal Traditional Owners - which sat on top of a high grade ore body it planned to mine.

"The review found no single root cause or error that directly resulted in the destruction of the rockshelters. It was the result of a series of decisions, actions and omissions over an extended period of time," the company said.

Rio said it would reduce the short-term bonuses of CEO Jean-Sébastien Jacques, chief executive of Iron Ore Chris Salisbury and group executive, corporate relations, Simone Niven in 2020 by about $3.7 million in total.

Jacques' 2016 long-term incentive plan award, due in the first half of next year, would also be reduced by about 1 million pounds ($1.3 million).

Rio said it would provide more details on the bonus cuts in its 2020 remuneration report.

($1 = 0.7637 pounds)

(Reporting By Rushil Dutta in Bengaluru; Editing by Richard Pullin)

((rushil.dutta@thomsonreuters.com; +91-80-6182-2648;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Tags

More Related Articles

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.