Non-executive directors in the financial service sector earn twice as much as counterparts in other businesses, research shows.
The findings come from a survey carried out by the Institute of Directors on the remuneration of non-executive board directors and on attitudes on governance issues.
The median pay for non-executive directors in financial services businesses was €60,000 to €70,000. In other sectors, it was between €30,000 and €35,000.
The study found wide variance between the pay for non-executive directors and chairpersons of companies listed on Euronext Dublin.
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The highest pay for a board chair on a Dublin-listed company was €422,000, more than 90 per cent higher than the average pay of just over €220,000.
The lowest-paid chairperson among the 20 largest Dublin-listed companies received €65,000.
Non-executive directors at these listed companies received significantly less, with remuneration ranging €55,000 to €97,000. The average was just above €70,000.
Most of directors, totalling 70 per cent, felt their remuneration was a fair reflection of their responsibilities and time commitments.
The survey also found strategy and risk management remained the top-rated core competencies prioritised by boards, with artificial intelligence (AI) and generative AI skills emerging as increasingly demanded expertise.
The survey highlighted a move away from the traditional quarterly board meeting cycle, with most directors attending at least five board meetings a year. They also cited an increased number of committee meetings and said regulatory expectations were increasing their workload.
Of the 231 respondents, who between them held 385 directorships, 66 per cent made less than €35,000. Slightly more than half (56 per cent) held positions in the financial services sector.
Just over two-thirds, 68 per cent, of these directors had more than six years of experience as directors. Roughly the same percentage were men.
Caroline Spillane, chief executive of the Institute of Directors Ireland, said the research “provides clarity on value and expectations to inform board recruitment and remuneration decisions for our members and wider organisations across Ireland”.
