The head of telecoms equipment maker Alcatel-Lucent rejected government pressure to renounce bonuses which could see him receive around 14 million euros ($15.7 million) as part of its buyout by rival Nokia, reports The Times of India.
Michel Combes, who has headed the French-American company since 2013, told the business daily Les Echos that the payments were not linked to the 15.6-billion-euro deal to create the world's biggest supplier of mobile phone network equipment, but the fact he had turned around Alcatel-Lucent's fortunes and its share price.
After the Journal du Dimanche newspaper, citing official documents and current share values, said Sunday that Combes could receive almost 14 million euros in bonuses over three years he came under pressure from government officials and unions.
"As the value of the company's shares has increased the amount has reached a considerable amount," Combes told Les Echos. "But that signifies that I succeeded in creating value and the company was saved, while when I joined it the company was half bankrupt and the candidates to lead it were not many."
He noted that he had renounced in April a 2.4-million-euro bonus due to him for leaving the company and that he wasn't accumulating bonuses as had other French bosses.
Large bonuses have become a politically sensitive issue in France, where unemployment is stuck at around 10 percent and the economy is sluggish.
Combes, who leaves his post on Tuesday to become board chairman at Numericable-SFR, managed a recovery plan that has tripled Alcatel-Lucent's share value.
But it also led to the loss of 10,000 jobs.
France Link
Boss of Franco-US company Alcatel-Lucent says he deserves 14 million euro bonus
Amid row, Michel Combes rejects pressure from French governement to turn down bonus, saying he helped turn around firm's fortunes.
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