The compensation of Procter & Gamble chief executive Robert McDonald declined 6.1 per cent last year as the world’s largest consumer products company worked to improve growth.

Mr McDonald, who has been CEO for three years, earned $15.2 million in salary, bonus, stock and options, compared with $16.2 million the previous year, according to a proxy statement filed yesterday.

Mr McDonald has disappointed investors by lowering profit forecasts three times this year, and is working to boost sales and execute a plan to save $10 billion by 2016 through cuts in jobs and marketing.

In July, activist investor Bill Ackman took a $1.8 billion stake in PG and plans to push for management changes, according to people familiar with the matter.

The company’s top five executives, including chief financial officer Jon Moeller, all received bonuses lower than their targets, according to the filing.

Mr Moeller’s salary increased by $75,000 to $825,000 last year. His total compensation was $5.35 million, a 7.7 per cent increase.

– (Bloomberg)