The new M&S director of clothing Jill McDonald will miss out on a total of £1.7 million in bonus pay when as leaves her role as chief executive of Halfords.
In October McDonald will jump ship from her two-year stint leading the bike and car parts retailer, to take the reins at M&S and attempt to reignite the fortunes of its clothing arm.
When she revealed her planned departure in May, her annual pay slid to £741,412 down £110,000 as she missed out on annual bonuses.
Before the announcement she was poised to receive £255,000 this year as a bonus, and her departure will see her miss out on £1.16 million in potential long-term bonus share awards.
She also lost a third of last year‘s bonus of roughly £53,130 as well as around £260,000 in compensation for missed bonuses at her previous position at McDonalds.
Despite this she is likely to see some of this money returned as M&S offers payouts to attract new recruits which make up for missed bonuses, although it is unclear how much she is in line to receive.
“Where an individual forfeits outstanding variable pay opportunities or contractual rights at a previous employer as a result of appointment, the (company) may offer compensatory payments or buy-out awards, dependent on the individual circumstances of recruitment, determined on a case-by-case basis,” M&S‘s annual report reads.
Her appointment as head of the UK‘s largest clothing retailer has proved controversial, as despite her extensive retail career she has never been a part of the fashion industry.