More than 40% of Home Retail Group's shareholders refused to back the company's remuneration scheme, which could see directors rewarded up to 150% of their salaries in cash.
According to a report by The Independent, of the total votes cast at Home Retail Group's annual meeting. 33% of shareholders in the group, which owns high street chains Argos and Homebase, voted against the remuneration report, while more than 7% abstained and 60% voted in favour.
The Association of British Insurers (ABI) has issued a 'red top' alert on the group and its scheme as part of a widespread crackdown on excessive pay packages.
More than two-fifths of shareholders also refused to back Home Retail Group's decision to replace a co-investment plan with a shares bonus scheme, paying board members around 37.5% of their base salary upon hitting an agreed pre-tax profit and group net cash target.
Should board members "substantially exceed" these targets, the new plan would pay out a maximum bonus in shares equal to 150% of their base salary.