Ontario Lottery and Gaming Corporation recently officially announced the exit of its President and Chief Executive Officer Stephen Rigby following a total of five years of successful operation. Following a conversation with the Board of Directors, the current leader has agreed that he would remain in his position until a new CEO is appointed this summer. Rumors regarding this resignation have been swirling around OLG.
For several weeks now, the Crown corporation has been associated with unconfirmed information related to its Chief Executive Officer and his position within the structure of the lottery corporation. One of the main factors surrounding his potential leave was the conversation about his severance package that would see him for the upcoming years. Projections were that it would be a golden one amounting to CA$1 million.
CEO Exits Structure
In reality, the severance package Mr. Rigby became eligible for amounts to CA$847,000 which is an amount equating to 12 monthly salaries. The special benefits coming with them are also included in this severance package. The contract Mr. Rigby has inked with the Crown corporation mandates a hefty severance package on his way out following five years of guiding the leading corporation.
Tony Bitonti, Spokesperson for Ontario Lottery and Gaming Corporation recently pointed out that the contract Mr. Rigby has signed states that he must be paid the respective severance package that speculations previously swelled to CA$1 million. However, it could be recalled that CasinoReports reported that the Crown corporation denied comment on the speculations that the CEO of the company is working on his exit package.
Now it has been officially confirmed with a statement of the Chair, ensuring that changes are upon us and this summer is about to see the new President and Chief Executive Officer of gaming leader of Ontario. For the time being, it has not been revealed whether Mr. Rigby was fired or the decision to leave the structure is his own.
What should be taken into account is that this severance package comes with the contract inked about five years ago with the help of the previous Board of Directors. Peter M. Deeb, Chair of the Crown corporation issued the official statement of the exit and for the time being, the next CEO remains unknown. It could be recalled that Mr. Rigby has not had previous experience in the gambling industry prior to his appointment as OLG CEO.
He had a total of 35 years in the federal government and upon his entrance in the structure, he had to quickly learn how to make things work at the Crown corporation. His initial salary amounted to CA$453,000 but throughout the years it rose to CA$765,000. The headquarters was also subjected to extensive reconstruction and renovation, giving the leader discrete access to his office and more privacy to his artworks and new furniture.
The statement announcing his exit also clarified that the provincial leader saw returns swelling to CA$2.5 billion since 2015 and projections for the upcoming couple of years are that this figure would swell to CA$3 billion. However, the increasing expenses of the company failed to place it on the path of its earlier projections, partly because the CEO invested in the headquarters reconstruction.