Yahoo Finance Who is the new Woolworths CEO? Amanda Bardwell wage revealed after Brad Banducci falls on sword
Amanda Bardwell has some hurdles ahead of her, but will be making a pretty penny leading Woolworths.
Brad Banducci may have led Woolworths to record profits, but it will be Amanda Bardwell who takes the helm as the supermarket giant justifies its practices after becoming the villain for many Australians struggling to navigate the cost-of-living crisis.
Bardwell has been with the $43 billion retail giant for 23 years, most recently as the managing director of WooliesX, which includes the popular Everyday Rewards program.
The Sydney mother-of-two will start as chief executive officer on September 1 and will reportedly earn a base salary of $2.15 million, with a generous bonus incentive program - $3.23 million in short term and almost $3.7 million if shareholders approve - set to push that figure higher.
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Banducci - a father-of-two - was paid $7.56 million last year but is estimated to hold more than triple that in stocks alone.
The median Australian wage is $54,890, according to the latest data from the Australian Bureau of Statistics (ABS).
Who is Amanda Bardwell?
Bardwell has been described as a “proven leader, business builder and modern retailer” who is “highly respected” throughout the organisation in a statement issued by the Woolworths board on Wednesday.
“Most recently, under her leadership, WooliesX has gone from infancy in 2015 to a $7 billion market-leading business,” the statement reads.
She even had humble beginnings in the retail sector, stocking shelves and working on the till at the local shop in Samford at the age of 14.
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How did she land this huge role?
Her credentials include a marketing degree from the University of Technology Queensland, a masters in business administration from the University of New South Wales, and a Chief Executive Women Scholarship to international business school INSEAD.
Bardwell said she started out her retail career in Queensland for a food franchise before joining Woolworths in 2001 as a business manager in research and development.
She ascended to head of marketing for the group’s supermarket, liquor and petrol arm, before a deeper foray into the alcohol sector as head of online at Dan Murphy’s and general manager of the Wine Quarter.
In 2017, she was promoted to managing director of WooliesX, which includes Woolworths Digital and Media, B2C eCommerce as well as Everyday Rewards.
This is where she's made her mark, growing the supermarket's loyalty program and boosting out-of-store shopping through same-day pick up or delivery, along with direct-to-boot services.
She will be the 13th managing director and group CEO of Woolworths Group.
Price-gouging firestorm still brewing: Controversies for Bardwell to face
In October 2023, Woolworths recorded multi-billion-dollar profits in their first-quarter sales revenue, with $12.96 billion in food retail sales, up 6.1 per cent.
In updated numbers released on Wednesday, Woolworths Group’s profits results showed a loss of $781 million, blamed on difficulties in its operations in New Zealand and value reductions in their stake of Endeavour, which owns BWS and Dan Murphy’s.
Despite this, Woolworths posted a $929 million net profit after tax for the six months to December 31. That’s up 2.5 per cent from 12 months ago, when sales were up 4.4 per cent.
This gives important context to the debate about allegations Woolworths and Coles are guilty of price gouging vulnerable customers and participating in unfair practices with suppliers.
Senate inquiries are examining the gap between grocery prices and what farmers are being paid for their produce amid a cost-of-living outcry, while the Australian Competition and Consumer Commission is carrying out a 12-month investigation.
It follows accusations major supermarkets have been significantly increasing prices on fresh produce compared to what they pay farmers and suppliers for products such as fruit, vegetables and meat.
Both supermarkets have denied wrongdoing but the focus will remain on their leadership as the issues are further examined.
Woolworths said Banducci’s resignation had been planned for this week, before his nightmare interview on Four Corners went to air, but many have speculated that his responses to probing on price-gouging was the final nail in the coffin.
He will still likely front the federal inquiry next month, but Bardwell will be expected to deal with any further fallout.
CEO wages have “skyrocketed over 100 times higher than average full-time earnings” and the disparity fuels distrust and animosity between the public and the leaders of big brands, according to economic writer Joan Westenberg.
“The recent procession of Australian CEOs exiting in disgrace shows current standards are failing citizens. And it has to change,” Westernberg wrote in a timely warning to business leaders.
“Australia needs business leaders who earn our respect and do not demand it through hubris, threats, or regulatory manipulation. Their performance must be judged on consistently delivering affordable products and services supporting prosperity."
With AAP
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