More businesses than ever are looking to hire non-executives to overcome and find solutions to critical organisational challenges. It also appears that more professionals are exploring opportunities to become a NED. In a recent survey, jobs search engine Adzuna revealed that the role of a non-executive director is the second most popular job search for professionals in the UK.
It’s clear to see why the role has amassed so much popularity. Becoming a non-executive comes with many worthwhile benefits including its flexibility, opportunities for growth, and lucrative earning potential.
According to Deloitte’s most recent executive pay report, over the course of a year, a non-executive director is likely to expect, on top of an annual salary, a bonus and any additional fees for committees attended. The report outlines the average base salary a non-exec can expect dependant on the size of the business.
Some of the most experienced and knowledgeable non-executive directors have managed to earn millions of pounds. Last Tuesday, Multichoice Limited Group revealed that Non-Executive Director, Imtiaz Patel, earns an annual salary of £464,133. In another study from The Daily Beast, it was revealed that Western Union Non-Executive Chairman Jack M Greenberg earns an annual salary of £2,402,193.
With this in mind, it’s no surprise that the role has become increasingly popular. However, it’s important to remember that as a non-executive director you will be remunerated according to the wealth of industry experience and knowledge you can bring to the boardroom, it is usually after completing a few boardroom roles that you will start to reach the higher earning brackets. Don’t be discouraged if the first few roles you take on are pro-bono or not compensated as high as you expect. By continually building your portfolio of different roles you can steadily grow your credibility and income.
Bare in mind, as the time requirements of a non-exec are part time throughout the year, you will have the opportunity to take on more than one role at a time. Ensure your experience is effectively translated to your CV and online profiles to stand the best possible chance of securing new roles and developing a commendable and profitable portfolio career.
Has our blog inspired you to make the transition to a non-executive career? Click here to learn more about our non-exec membership which is here to help you with a wealth of tools and advice.
