The outgoing CEO of PSA Peugeot Citroën will give up the €21-million ($30.2-million) pension he’s entitled to after union and government leaders criticized the benefit he was going to receive.
“Given the immense respect I have for our company’s staff and the consequences of the difficult but necessary decisions I had to take, I have decided to renounce on the current dispositions of my pension package,” said Philippe Varin, the automaker’s CEO, at a press conference on Wednesday.
Under his tenure, the company has announced it would slash more than 11,000 jobs and freeze salaries in an effort to reduce losses.
Peugeot had set aside a provision of €21 million to pay for Varin’s pension, which would cover annual payouts of €310,000 ($445,800) for 25 years after taxes and social security contributions.
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