Finance Minister Bill English was given advance warning there may be some curly questions over the level of staff bonuses at the Guardians of New Zealand Superannuation after its best investment year ever.
Senior managers and executives received $1.39 million from their incentive scheme in the 12 months ended June 30, up by more than a $1 million from the year before as staff enjoyed the rewards from the best annual return by the New Zealand Superannuation Fund.
The biggest beneficiary, presumably chief executive Adrian Orr, saw his base salary band of between $470,000 to $480,000 rise to between $710,000 to $720,000 with the bonus.
That increase prompted chairman David May to write to English on September 29 to explain the incentive scheme, which has the board's backing, and warn "we expect this to gain media attention."
"What has caused the large increase is an exceptional one-off payment caused by the improvement in the long-term performance of the fund," May said in a letter released to BusinessDesk under the Official Information Act. "It is achieving what was intended - to reward investment performance over four years rather than one."