"BP Plc has agreed to cut about 5 million pounds ($6.24 million) from Chief Executive Bob Dudley's maximum pay for the next three years in a bid to avoid a shareholder revolt..."
Well Duh! Why wouldn't he deserve a pay cut too after company posted a loss?
http://www.rigzone.com/news/oil_gas/a/149085/Sky_News_BP_to_Cut_About_5_mln_Pounds_from_CEOs_Maximum_Annual_Pay?rss=true
Sure - They should cut his retirement benefits and also to his team - as an example if how they value their best assets in an equal form. The reason senior management has a different severance package is because they know that BP would not pay anything unless they have a contract or a law that forces them like in the UK. Research the type of severance they are forced to offer to UK employees vs USA and quickly find out that unless the government protects you, BP gives you dog food.
Back to basics with 2nd grade lesson on "supply and demand". Given the state of the industry there is an excess of "CEOs" thus even at that level the price goes down.
Big Deal!