$880,000 payout for former Manitoba Hydro CEO sparks backlash

Jay Grewal spent six weeks in role as CEO: 'There's nothing scandalous here,' says academic

$880,000 payout for former Manitoba Hydro CEO sparks backlash

Manitoba Hydro is facing public criticism over an $880,000 payout to its former chief executive officer (CEO), who held the position for only a few weeks in 2024, according to a report.

Jay Grewal received $881,177 last year despite serving just six weeks before her contract was terminated, CBC reported.

The payout more than doubled the compensation of any other Hydro employee and represented a 61% increase from the $546,698 she earned in 2023 for a full year as president and CEO.

Manitoba Hydro confirmed the payment was made in accordance with her contractual obligations and did not include severance. The utility did not disclose the length of Grewal’s contract or provide a detailed breakdown of the payment.

'Deeply troubling' payment, says MP

Pimicikamak Cree Nation Chief David Monias expressed outrage over the payout, saying he was “disgusted” and “deeply offended,” especially as his First Nation continues to wait for the Crown corporation to honour commitments under the Northern Flood Agreement, signed nearly 50 years ago.

“They pick and choose what they want to honour. They're not honouring ours, but they're willing to honour hers,” Monias told CBC News.

“They've shown that they can honour an agreement, so why not honour ours?”

Monias also criticised Grewal’s engagement with First Nations, alleging she had a “non-existent” relationship with NFA signatories during her tenure.

“To us, the Northern Flood Agreement is not mere words; it’s supposed to be about real compensation, true partnership and development,” he said.

Meanwhile, Opposition leader Wab Kinew called the payment “deeply troubling,” according to Swifte Radio News. He also demanded for a comprehensive review of compensation practices across all Crown agencies, according to the publication.

CEO median pay surged by 7.5% in 2024 to reach $16.8 million during the 2024 to 2025 filing periods, according to a previous report.

‘There’s nothing scandalous here’

Meanwhile, University of Manitoba business instructor Sean MacDonald defended the payout, telling CBC it reflects market standards for public sector executives.

“There’s nothing scandalous here,” he said in the CBC report, adding that contracts for senior leaders often include protections due to the political risks of high-profile public roles.

Manitoba Hydro dismissed Grewal in February 2024, shortly after she publicly reiterated support for purchasing electricity from private wind producers—plans introduced under the previous provincial government. The newly elected NDP administration rejected that approach and said Grewal’s dismissal was not directly linked to the policy disagreement.

The disclosure of the payout to Grewal comes under Manitoba’s Public Sector Compensation Disclosure Act, which requires government bodies to publish the earnings of employees making over $85,000, including salary, benefits, and lump-sum payments.

Following Grewal’s exit, Hal Turner served as interim CEO before Allan Danroth officially stepped into the role in August 2024.

Danroth earned $192,454.60 last year, according to the compensation report cited by CBC. The province has since committed to building new wind farms in partnership with Indigenous communities rather than private providers.

The CEO-to-worker pay gap in Canada narrowed to 210:1 in 2024, according to a previous report from the Canadian Centre for Policy Alternatives (CCPA).