TAP CEO contract foresaw up to €3M bonus

The CEO of Portugal’s national airline TAP, Christine Ourmières-Widener was to receive a bonus of between €2.1 million €3 million under the terms of her contract if she successfully restructured the carrier and oversaw its eventual sale.

This is according to her contract signed with TAP SGPS on June 8, 2021 reports Journal Económico.
But the same contract signed by directors Ramiro Sequeira and Alexandra Reis (the latter having quit the company with a contract entitlement to a highly controversial €500,000 golden handshake), stipulates that approval for the bonus must be given by the company’s general board, which has not, so far ever been given. This means that the contact is invalid and that the bonus is not due.
The contract was signed three weeks before the TAP general board meeting at a time when it was known that the company would be privatised, at which the company’s governing bodies, including the senior management led by Christine Ourmières-Widener were elected.
However, the 20th clause of the contract leaves no doubt that any bonus laid out in the contract would have to be approved by the Portuguese parliament.