Salaries Axpo CEO on salary criticism: "We underestimated the sensitivity"

SDA

5.2.2025 - 06:45

Axpo CEO Christoph Brand has commented in the "NZZ" on criticism of his high salary of over 1.5 million Swiss francs. (archive picture)
Axpo CEO Christoph Brand has commented in the "NZZ" on criticism of his high salary of over 1.5 million Swiss francs. (archive picture)
Keystone

Axpo CEO Christoph Brand has responded to criticism of his income of over CHF 1.5 million in the 2023/24 financial year. In an interview with the "NZZ" newspaper, he said that Axpo had underestimated the political sensitivity with regard to high remuneration.

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"I'm sorry that people got so upset," Brand explained. In addition, Axpo had failed to communicate better what its business activities entailed. Brand emphasized that remuneration should be viewed in the context of business results. In the last five years, Axpo has generated around seven billion francs in value for shareholders, paid 700 million francs in taxes and created 1,200 jobs. Only two percent of the profit came from the monopoly business with Swiss electricity end customers.

Brand also commented on accusations that Axpo hides losses through non-transparent accounting. He firmly rejected these allegations. The financial statements are prepared in accordance with international accounting standards and audited by external auditors.

In response to the question of whether Axpo had merely profited from record electricity prices, Brand replied that Axpo was exposed to long-term economic risks, particularly in Swiss electricity production. The costs for the power plants are enormous, while the electricity price is formed internationally and cannot be controlled. The international trading business had kept Axpo afloat in times of loss-making electricity production.

Cantons should have a say in wages

Following criticism of the sharp rise in executive salaries at the state-owned energy company Axpo, the Aargau cantonal government announced in December that it wanted to curb them. It is no longer the Board of Directors but the Annual General Meeting that is to decide on remuneration each year. There was "little understanding" for the fact that "record-high bonuses" were being paid out, it said.

The cantonal government accused Axpo bosses of a "lack of sensitivity towards politics, the economy and the population". It was "negatively surprised" by the amount of remuneration announced for the members of the Executive Board.

The remuneration for Axpo CEO Christoph Brand increased from CHF 889,000 (excluding pension fund and social security contributions) in the prior-year period to CHF 1.548 million in the 2023/2024 financial year. The total for the entire Executive Board rose to CHF 8.6 million. Axpo reported a profit of CHF 1.5 billion.