Don't start conversations with the public about CEO pay, charities told

03 Jul 2017 News

Vicky Browning, chief executive of Acevo

Charities have been urged not to initiate discussions with the public about chief executives’ pay in an attempt to boost trust in the sector.

Speaking at the Charity Conference 2017 in London on Friday, run by the Institute of Chartered Accountants in England and Wales, Acevo chief executive Vicky Browning disputed an assumption that trust in charities had dropped in recent years, but said it is volatile and warned charity professionals not to be complacent.

Browning quoted contrasting recent surveys on public trusts in charities, with YouGov rating it at 5.7 out of 10 while NfpSynergy found the sector was the fourth most trusted institution.

She told delegates the sector looked comparatively trustworthy in the current political environment of Donald Trump and Theresa May.

Browning said that she believed most chief executives in the sector were paid fairly, describing the amount Cancer Research UK’s chief executive Harpal Kumar’s £244,000 salary as a “bloody bargain” compared to what a similar role in the retail sector would pay.

However, she urged charities not to proactively try to discuss the topic with the public as many disagree. “It is more of a reactive, not defensive, but reactive than a proactive message,” she said.

Instead, she said charities should focus on promoting their high levels of transparency and urged the sector not to try to whitewash its image to boost public trust.

She said: “People really need to know that you would listen to their concerns around fundraising, data whatever that might be and we need to address a perception of a lack of transparency about where their money is going.

“You cannot fix the reality by talking about the ideal. We have to live up to what we purport to be by addressing concerns and by working effectively.”

Acevo and other sector bodies, she said, were continuing to work with journalists to promote better understanding of charities in the mainstream media, although she said the fact that much news is shared through social media has made it more difficult to improve standards.

Browning also said some information from the Commission on the Donor Experience was due to be launched at the Institute of Fundraising Convention on 5 July.

Charity Finance magazine's annual survey on chief executives' pay is due to be published in its September edition.

 

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