Board makes settlement following legal advice over unfair dismissal and age discrimination claim
Developer Berkley Group has paid its former St George boss Tony Carey £5m in a settlement over claims of unfair dismissal and age discrimination.
In a statement to the market the firm said the board’s decision to settle the claim was unanimous following legal advice.
The case was due to be heard by an employment tribunal shortly.
Carey, who had been at the firm for 20 years, had been regarded as one of the most trusted lieutenants of Berkeley boss Tony Pidgley. But he unexpectedly quit in September 2010 amid rumours of a management bust-up.
At the time he was paid £497,444 “compensation for loss of office” by Berkeley Group, equivalent to just under half of his 2010 remuneration of £1m.
Berkeley said the costs of the settlement were fully allowed for in the balance sheet as at 30 April 2011. The firm added that share options for 1,388,390 shares, worth more than £17m at today’s share price, were cancelled following the settlement.