At its annual general meeting on Thursday, more than 40% of shareholders voted against the report after the company’s executives were paid $9.5 million in the 2012 financial year, up from $9 million last year – although the company had 13 directors in FY2012, up from 10 last year.

The vote against the remuneration report follows on from a similar vote last year, triggering a second strike offence.

Under new laws, companies which receive two consecutive votes of more than 25% against the adoption of the remuneration report can face a board spill, where some directors have to be re-elected to maintain their position.

However, Linc shareholders, while unhappy with the amount of money the board was getting, voted not to trigger a board spill.

Australian Shareholders’ Association representative Bill Seymour was quoted by AAP as saying the vote against the remuneration report was a sign of dissatisfaction among shareholders.

“The legislation was to get board members to listen to what shareholders are telling them,” he said.

“It appears you’re not quite listening.”

This article first appeared in ILN's sister publication EnergyNewsBulletin.net.