Phone hacking scandal takes a toll on Rupert Murdoch's bonus

MUMBAI: News Corp chief Rupert Murdoch and his son James Murdoch, who is the deputy COO of the company, have seen their annual bonuses decline courtesy the phone hacking scandal, which led to shutting of News of the World newspaper, multi-million dollar suits, arrest of top officials and deferred bid to buyout BSkyB.

As per regulatory filings, News Corp has determined to award only half of the qualitative portion of the annual bonuses for four top executives namely Rupert Murdoch, James Murdoch, David DeVoe and Chase Carey for the fiscal year 2012.

The company?s 81-year-old chairman and chief executive had earned a bonus of $10.4 million in 2012, while his son James earned a bonus of $5 million. As per the filing, Jr Murdoch had declined to take his $6 million bonus in fiscal year 2011 as a result of the hacking scandal.

Overall, Rupert Murdoch?s total compensation too declined for the fiscal year to just over $30 million against $33.3 million in 2011. However, son James? total compensation increased from $11.9 million in 2011 to $16.8 million in the 2012 fiscal.

News Corp Senior EVP and Chief Financial Officer David DeVoe and deputy chairman, president and COO Chase Carey had received an annual bonus of $4.17 million and $8.3 million respectively.