Frankfurt -The management board of German energy giant RWE has agreed to a total pay cut of €500 000 ($688 000) this year because the business is in difficulties, the company said on Tuesday.
"The company is in a very difficult situation. It goes without saying that we wish to make our contribution too," said chief executive Peter Terium.
He and the other three executive board members would together forego a total of €500 000.
Terium, finance chief Bernhard Guenther and deputy board chief Rolf Martin Schmitz earned a total €4.4m in 2012, the last year for which data are available.
The fourth member Uwe Tigges joined the board in January 2013 .
RWE, Germany's second-biggest power generator, is being hit hard by the energy transition currently underway in Europe. Its fossil fuel activities are making losses and it is slashing jobs as a result.
RWE is scheduled to publish its 2013 results on March 4.