Keeping executive talent is a challenge, says Stokes KERRY Stokes has warned that the Australian creative industries risk losing talented executives to overseas markets if they're not highly paid. Speaking at the AGM for his mining and media company Seven Group, Stokes was asked about remuneration which has become a key theme during the current AGM season. The annual report for Seven Group showed chief executive Don Voelte will be paid a base salary of $3.6 million that could rise to $5.6 million if incentives are met. "The problem for Australia is that we're a very small fish tank," the Seven chairman told shareholders. The senior people in our organisation that run Seven West Media would be paid a lot more money by Hollywood studios and other independent producers. One of the big challenges for Australia is keeping talent in our creative area because the opportunities in this world are far ranging. The Stokes-controlled Seven Group owns 34 per cent of television, digital media and publishing company Seven West Media, which is led by CEO Tim Worner, who took home took home $4.17 million for the 2012-13 financial year. But the highest paid media executive is Nine Entertainment chief executive David Gyngell, who could earn up to $32 million depending on the success of the company's imminent float on the ASX. "Australia has a great reputation for producing great people in the entertainment industries and our executives are under great demand," Stokes said. The fact that we retain them is only possible by paying the sort of salaries that we've now seen in the marketplace. To measure these salaries against other industries would mean we would lose a crop of the most valuable creative people in the country. Seven Group's remuneration report was carried, with 83.3 per cent voting in favour, and 16.53 per cent against. Mr Voelte said there were "tremendous opportunities" to increase value from the company's existing portfolio, and identified potential investments in "energy, food and water." "We have several parties that want to partner with us," he said. Partnerships would allow more leverage and improve management of financial risk. The AGM came after Seven Group's WesTrac, a distributor of Caterpillar heavy machinery in Australia and China, said it would cut 630 jobs and restructure as the mining investment downturn hits machinery sales. Mr Voelte said Westrac had reduced costs by more than $135 million on an annual basis.