Skip to main content
The Globe and Mail
Support Quality Journalism
The Globe and Mail
First Access to Latest
Investment News
Collection of curated
e-books and guides
Inform your decisions via
Globe Investor Tools
Just$1.99
per week
for first 24 weeks

Enjoy unlimited digital access
Enjoy Unlimited Digital Access
Get full access to globeandmail.com
Just $1.99 per week for the first 24 weeks
Just $1.99 per week for the first 24 weeks
var select={root:".js-sub-pencil",control:".js-sub-pencil-control",open:"o-sub-pencil--open",closed:"o-sub-pencil--closed"},dom={},allowExpand=!0;function pencilInit(o){var e=arguments.length>1&&void 0!==arguments[1]&&arguments[1];select.root=o,dom.root=document.querySelector(select.root),dom.root&&(dom.control=document.querySelector(select.control),dom.control.addEventListener("click",onToggleClicked),setPanelState(e),window.addEventListener("scroll",onWindowScroll),dom.root.removeAttribute("hidden"))}function isPanelOpen(){return dom.root.classList.contains(select.open)}function setPanelState(o){dom.root.classList[o?"add":"remove"](select.open),dom.root.classList[o?"remove":"add"](select.closed),dom.control.setAttribute("aria-expanded",o)}function onToggleClicked(){var l=!isPanelOpen();setPanelState(l)}function onWindowScroll(){window.requestAnimationFrame(function() {var l=isPanelOpen(),n=0===(document.body.scrollTop||document.documentElement.scrollTop);n||l||!allowExpand?n&&l&&(allowExpand=!0,setPanelState(!1)):(allowExpand=!1,setPanelState(!0))});}pencilInit(".js-sub-pencil",!1); // via darwin-bg var slideIndex = 0; carousel(); function carousel() { var i; var x = document.getElementsByClassName("subs_valueprop"); for (i = 0; i < x.length; i++) { x[i].style.display = "none"; } slideIndex++; if (slideIndex> x.length) { slideIndex = 1; } x[slideIndex - 1].style.display = "block"; setTimeout(carousel, 2500); }

Canadian Pacific Railway president and CEO Keith Creel addresses the company's annual meeting in Calgary on May 10, 2017.

Jeff McIntosh/The Canadian Press

Executive compensation spiked at Canadian Pacific Railway Ltd. last year, but pay gains were more muted at Canadian National Railway Ltd., which paid zero bonuses to its leaders.

At CP, chief executive Keith Creel made $15.15-million, up from $12.49-million the previous year. CP gave Mr. Creel share and options awards worth $9.5-million last year, up from $6.8-million in 2018. His bonus of slightly less than $3-million was about $150,000 lower than a year earlier.

In a letter to shareholders, board chair Isabelle Courville said CP had record revenue and its best-ever operating cost numbers. It increased capital expenditures while also raising its dividend by 27.5 per cent and buying back shares.

Story continues below advertisement

CP has been honing its pay approach for several years, after it lost a shareholder say-on-pay advisory vote in 2016, when former CEO Hunter Harrison was at the helm. CP got nearly 96-per-cent approval at its shareholders’ meeting in 2019.

Most CP executives saw an increase in total compensation in 2019 because the company boosted their stock awards. CP sets a target amount for stock awards that’s a percentage of executive salaries. In 2019, it raised those target percentages, and its six top-paid executives, including Mr. Creel, received $18-million in share and option awards, versus $13-million in 2018.

At CN, CEO Jean-Jacques Ruest made $8.94-million, versus $8.49-million in 2018, when he became the company’s top executive mid-year. His bonus fell to zero from slightly less than $1.6-million in 2018.

CN said it failed to meet all five of its financial goals, tied to revenue, profit, cash flow and return on capital, and it also failed to meet its two safety-related goals (based on the rate of accidents and injuries). Since the company missed its corporate-wide financial targets, it also didn’t pay any executive bonuses based on individual performance.

CN’s workers went on strike for a week in November, cutting into CN’s sales and profits.

The two other CN executives among the top-paid who served in their roles in both 2018 and 2019 saw their total pay decline; each had received bonuses of more than $900,000 in 2018.

CP shares rose 38 per cent in 2019, while CN gained just 7 per cent.

Story continues below advertisement

The compensation figures, released in proxy circulars to shareholders in recent days, include millions of dollars in stock awards that have now fallen in value in the current economic crisis.

Your time is valuable. Have the Top Business Headlines newsletter conveniently delivered to your inbox in the morning or evening. Sign up today.

Report an error Editorial code of conduct
Tickers mentioned in this story
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed.

Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies