Median total remuneration for CEOs of South Africa’s largest listed companies rose 9% to R23,191-million in 2026, and 7% to R13,489-million for CFOs, with the increase driven primarily by performance-linked incentives rather than fixed pay, according to PwC’s 19th Directors Remuneration and Trends report.
The report analyses remuneration across the JSE Top 200 for the period 1 March 2025 to 28 February 2026 and attributes the higher outcomes to stronger company performance and favourable vesting of incentive awards.
Variable pay drives the increase
Median annual short-term incentive (STI) outcomes increased by 42% for CEOs and 39% for CFOs, while median long-term incentive (LTI) outcomes increased by 67% and 54% respectively.
By comparison, movements in fixed pay were more moderate. Median total guaranteed pay (TGP) increased by 6% for CEOs to R8,814-million, while CFO TGP increased by 1% to R5,580-million.
“The real story is not simply that executive pay has increased, but what is driving it. The increase has come mainly through incentives, particularly long-term incentives, rather than guaranteed pay. For boards, the focus now is on making sure reward remains connected to performance and sustainable value creation, while balancing the expectations of executives, employees and shareholders,” says Makhosazana Mabaso, PwC reward partner.
Stronger shareholder support, but scrutiny remains
Shareholder support for remuneration remains strong, even as expectations around transparency and accountability continue to grow.
Support for implementation reports increased from 83,8% in 2025 to 89,6% in 2026. At the same time, the proportion of implementation reports receiving more than 50% shareholder non-support fell sharply, from 5,4% to 0,6%, while no remuneration policies received more than 50% non-support in 2026 (2025: 1,2%).
There are still areas where shareholders expect companies to do more. Around 9,6% of remuneration policy resolutions and 9,8% of implementation report resolutions received support of between 50% and 75%. Substantial sign-on awards without performance conditions and large LTI grants without adequate rationale also continue to attract scrutiny.
The changing regulatory environment is adding another dimension to the conversation. Remuneration-related amendments to the Companies Act took effect on 22 May 2026, strengthening requirements around pay transparency and shareholder accountability.
“Greater transparency presents organisations with an opportunity to take a closer look at how pay decisions are made. It should be more than a compliance exercise. Better pay data enables organisations to identify patterns, uncover potential gaps and make more informed remuneration decisions. Used effectively, these insights can help organisations strengthen their reward strategies, support fair outcomes and ensure pay practices remain aligned with business objectives and workforce expectations,” says Leila Ebrahimi, PwC reward partner.
NED fees continue to rise
Non-executive director (NED) fees also increased during the reporting period. Median board member fees rose by 7,7%, while chairperson fees increased by 6,5%.
Median proposed fees stood at R1,754-million for chairpersons, R1,509-million for deputy chairpersons, R1,193-million for lead independent directors, and R518 000 for board members.
Shareholder support for proposed NED fees remained high at 99,4%, up from 98,1% in the previous reporting period.
The report also provides a broader picture of the typical JSE Top 200 board. On average, boards comprise eight NEDs, with an average tenure of 5,5 years. Of those analysed, 79% are independent, 82% are South African nationals, 64% are male and 55% are African, Coloured or Indian/Asian.
Representation at the top remains slow to change
While remuneration outcomes have shifted, representation at executive level has seen far less movement, there is still low representation of women in most senior roles. Women account for only 10% of CEOs, while female representation among CFOs stands at 25% across the JSE Top 200 companies analysed.
In 2026, the median TGP wage gap between male and female stood at 7%. However, PwC notes that the relatively small number of female CEOs means movements in this measure should be interpreted with care.
For CFOs, median TGP for male executives was 2% higher than for female executives.
Racial representation also remains low. African, Coloured and Indian/Asian executives account for a combined 18% for CEOs and 28% for CFOs.
Rethinking what makes a meaningful benchmark
As the competition for leadership talent shifts, organisations are also having to think differently about how they benchmark executive pay.
Executive roles do not always fit neatly into conventional titles or industry categories. Scarce skills, cross-border responsibilities, organisational complexity and changing business models increasingly influence the scope and value of a role. At the same time, companies may be competing for talent with organisations well beyond their traditional peer group.
This makes market data an important guide, but not the final answer.
“Benchmarking still matters, but there is rarely one number that tells a board what it should pay. The stronger approach is to bring different perspectives together, including the market for talent, the organisation’s size and complexity, internal fairness and what the business can sustainably afford. It is about finding the right answer for the organisation rather than simply following the median,” says Ebrahimi.
Executive reward is entering a new chapter
Looking ahead, the report identifies transparency, skills-based reward, more purposeful incentives and broader measures of leadership as themes likely to shape executive remuneration.
AI is accelerating changes in the skills organisations need, making it increasingly important to recognise scarce and value-creating capabilities. Incentive structures will also need to respond more closely to strategy, maturity and risk rather than applying the same approach across different parts of a business.
What companies measure is changing too. Cybersecurity, responsible AI, sustainability and workforce transition are increasingly business-critical issues and could play a greater role in how organisations assess leadership performance and long-term resilience.
“The definition of executive performance is expanding. As AI reshapes the skills organisations need, and issues such as cybersecurity, responsible AI and workforce transition become increasingly important to long-term value, boards will need reward structures that recognise how leaders are building resilience for the future, not only how they deliver against this year’s targets,” says Mabaso.