**Xero CEO Defends $23 Million Pay Amid Investor Backlash**
**Meta Description:** Xero’s CEO Sukhinder Singh Cassidy defends her $23 million salary after investor criticism at the annual general meeting, citing the need for top talent.
**URL Slug:** xero-ceo-pay-defended
**Xero CEO Sukhinder Singh Cassidy Defends $23 Million Salary Amid Investor Criticism**
Sukhinder Singh Cassidy, the CEO of Xero, has responded to investor concerns regarding her substantial pay package exceeding $23 million, which positions her among the highest-paid executives on the ASX. This defense comes after a significant backlash from shareholders during the company’s recent annual general meeting.
Singh Cassidy, who took the helm at Xero in February 2023, has an impressive background with previous roles at Google, Amazon, and the e-commerce platform Joyus. Under her leadership, Xero’s share price has seen an upward trend; however, her Silicon Valley-style compensation has drawn scrutiny, particularly in light of current economic challenges and rising living costs.
Her target remuneration, amounting to $US15.2 million (approximately $23.5 million), primarily consists of share-based incentives, supplemented by a one-time grant of 575,000 share options valued at around $US26.5 million. This places Singh Cassidy in an exclusive group of ASX executives earning $20 million or more, alongside notable figures such as ResMed’s Mick Farrell and News Corp’s Robert Thomson.
The pay package has faced criticism from proxy advisory firms like Institutional Shareholder Services (ISS) and Glass Lewis, both of which opposed Xero’s remuneration report at the AGM. ISS highlighted “problematic pay practices” that it deemed inconsistent with good corporate governance standards expected from large ASX-listed companies. Additionally, concerns were raised regarding a significant one-off bonus awarded to Xero’s new CFO, Claire Bramley, which was reported to be 26.5 times her annual base salary.
At the AGM, nearly half of the votes cast rejected the remuneration report, signaling discontent with Singh Cassidy’s salary and serving as a warning to the board about the disconnect between executive pay and shareholder expectations. Although the vote was largely symbolic—given Xero’s New Zealand base, it is not subject to ASX’s “two strike” rules—the board has maintained that such compensation is essential for attracting top-tier global talent.
In a recent interview, Singh Cassidy stated that her remuneration is determined by Xero’s board and is structured to deliver value to shareholders. Founded in New Zealand in 2006, Xero specializes in cloud accounting software and recently showcased new AI features at its annual Xerocon event, which is often referred to as the “Coachella for accountants.” The company also announced plans for expansion in the lucrative U.S. market, following a $US2.5 billion acquisition of a payments platform.
**FAQ**
**What is Sukhinder Singh Cassidy’s role at Xero?**
Sukhinder Singh Cassidy is the CEO of Xero, having assumed the position in February 2023, and is responsible for leading the company’s strategic direction and growth initiatives.