The learning disability charity Mencap made salary and termination payments totalling up to £640,000 to five senior managers who were made redundant as part of a restructure, its latest annual report shows.
The report, filed with Companies House this week, shows that the charity reduced the number of employees that were paid more than £60,000 a year from 39 to 25 in the year to the end of March 2013.
It shows that one employee received salary and termination payments totalling between £190,000 and £200,000 and another received between £150,000 and £160,000. The charity said it was unable to identify the individuals concerned because of legal agreements with them.
Mencap announced in March 2012 that it was carrying out a restructure that could result in the loss of up to 30 jobs, including some senior managers, under its previous chief executive, Mark Goldring. Goldring joined Oxfam as chief executive in April this year and was replaced by Jan Tregelles.
The report shows that the charity’s overall income fell by 2 per cent to £196.6m. It spent £198.8m, up from £190m in 2011/12. Its fundraising income was £8.4m, which the charity said was 2 per cent above its target. Its fundraising income was £12.8m in 2011/12, but this included £4.9m raised through its ‘charity of the year’ partnership with the Co-operative Group.
Tregelles said she had reduced Mencap’s running costs by £6m since she took up her post. "It has been an extremely difficult time for the charity sector and unfortunately this looks set to continue," she said. "Mencap has been supporting people with a learning disability and their families for 65 years and we are doing everything to ensure that we can continue to meet the changing needs of the people we support long into the future.
"Since taking up my post I have put in place a medium and a long-term strategy, created a new executive, reshaped our corporate function, built evidence into our campaigns and service modelling, and reduced the cost of running the organisation by £6m."