Mineral Resources Boss Chris Ellison will trim his salary by $300,000 following a review of company remuneration that will also see a shake-up of short and long-term incentive plans for key executives.

Announcing its full-year results this morning, MinRes said Mr Ellison had volunteered to accept the near 9 per cent cut to his base salary to $1.2 million, backdated to July 1.

Under changes to the package, his short-term incentive will increase from a maximum of 50 per cent of his revised base salary to 100 per cent. His long-term incentive maximum will stay the same at 180 per cent.

MinRes copped a massive 63.3 per cent strike against executive pay by shareholders at last November’s annual meeting, prompting Mr Ellison at the time to tell institutional investors blindly following proxy advisers to get off the company’s share register.

The first strike followed similar strikes against the company’s remuneration report in the two years before that.

At the time, Mr Ellison maintained the company was not overpaying its staff.

MinRes said today that a review by the board’s remuneration committee had included consultation with shareholders and their advisers, input from advisers and a review of data from a peer group of 18 listed companies.

“These changes are expected to see Mr Ellison’s base salary move towards the median of that peer group in the 2020 financial year and reduce his total maximum pay by close to 9 per cent,” the company said.

“Mr Ellison’s terms of employment will remain the same, although the board has clarified that it will need Mr Ellison’s consent if it ever decided that he was not to be the most senior executive in the group.”

MinRes reported revenue of $1.51 billion for the year to June 30, down 7 per cent from the previous year driven by a softer lithium market and its decision in the first half of the year to stop direct ore shipments from its Wodgina project to focus on higher-value spodumene concentrate.

That was offset by higher prices and reduced discounts for iron ore from its Koolyanobbing project in the Yilgarn.

Normalised earnings before interest, tax, depreciation and amortisation was down 14 per cent on the previous year to $433 million — well above guidance issued in May of between $360 million and $390 million — and delivering an after-tax profit of $164 million.

It will pay a fully franked dividend of 31¢.

“This past year has been the most significant in our company’s history as we set MRL up for long-term growth,” Mr Ellison said.

“We continue to be focused on maximising the value of our world-class lithium ore bodies and our iron ore operations, while the infrastructure and innovation initiatives we have been developing during the past three to five years will provide us with industry-changing mining services capabilities.”

Image: Mineral Resources Boss Chris Ellison, The West Australian.