According to research from the Incomes Data Services, in 2009 board members received just under a third of their salary in bonuses while in the previous 12 months their bonuses represented an average 40% of salary.
Senior managers have seen the sharpest reduction in bonuses, falling from 20% of salary in 2008 to 13% this year. The bonuses of professional and technical staff fell from 8% to 5.5% of salary while middle management saw an average drop in bonuses from 10% to 7.8% of salary, the report reveals.
Steve Tatton, who edited the research, comments: "Despite the current climate of salary freezes these figures show that bonuses remain very much an integral part of current pay packages.
"Although bonuses have come under fire, with criticism linking incentive schemes to the use of high-risk, short-termist business strategies, employers continue to view performance-related pay as a valuable reward tool.
"Up until last year bonuses were still holding up but the recession seems to have fed through. Senior management and professional staff were hit hardest and lost approximately a third of the value of their annual incentive payments. But despite bonus payments falling overall, board members and senior managers are still receiving a substantial percentage of their basic salary."
Bonus payment cuts hit senior management and professional staff the hardest
Bonus payments for UK managers have dropped since 2008, but board members still receive awards averaging 30% of salary.
