New CTT’s CEO cuts in chauffers and executives’ pay

João Bento, the new CTT’s CEO, is determined to bet on a different strategy from his predecessor, Francisco Lacerda. After announcing to the Parliament that CTT will not just keep its stores as it will also reopen some of those that were previously closed, Bento is now putting effort on cutting fats in the top ranks of the company.

One of the cuts was in the Executive Board’s chauffeurs. João Bento took advantage of some chauffeurs having retired to not replace them after, aiming to cut completely on that board’s privilege, as ECO Insider confirmed.

Another cut was in executives’ salaries – starting on his own. The goal is to send a strong signal that the restructuration plan is being implemented both to shareholders and workers. It was not possible to know how much the cut was as an official source of the company refused to comment.

ECO Insider also knows that some significant changes on the board will take place as it prepares to begin a new mandate, which is going to be influenced by the new concession contract for universal postal service. João Bento is preparing changes for both the executive and non-executive teams to occur over the next year, immediately after concluding the negotiations with the government over the abovementioned contract.

CTT share value is of almost 2€, which currently values the company in about  300M€. Shares, however, used to be traded above 10€ and over the last 52 weeks, the company’s value decreased more than 30%.