Tim Cook, CEO of Apple, to see a decline in pay of nearly 40% this year

Tim Cook, CEO of Apple, to see a decline in pay of nearly 40% this year

The CEO of Apple Inc., Tim Cook is reportedly going to take a 40% cut in his salary this year. The IT firm claims that Mr. Cook asked for a reduction in pay after receiving feedback from shareholders.

It is worth mentioning that he received an overall target pay of USD 49 million from Apple's remuneration committee for 2023. Notably, a global economic slowdown and problems with the supply chain caused the iPhone manufacturer's shares to drop precipitously last year.

Apple stated in a filing with a US financial authority that the Salary Committee considered shareholder criticism, Apple's extraordinary performance, and a proposal from Mr. Cook to adjust his compensation in light of the data obtained.

Mr. Cook's base yearly pay will remain at USD 3 million as a result of the change, along with a bonus of up to USD 6 million. How he will be given shares in the company will make the most difference to his financial compensation.

In 2022, he received USD 75 million in shares from the firm, with half of those contingent on Apple's stock market performance. His stock award objective for this year has been lowered to USD 40 million, with 25% of it depending on the outcome of Apple's shares.

Although Mr. Cook's actual total salary for 2017 was USD 99.4 million, the aim for his remuneration in 2022 was USD 84 million. This sum included USD 712,500 for his use of a private jet as well as USD 630,600 for personal security expenses.

An influential investor advisory organization encouraged Apple shareholders to vote against Mr. Cook's compensation plan last year. Institutional Shareholder Services (ISS) wrote to investors to express serious concerns regarding the design and amount of the package. The ISS reported that Mr. Cook's income was 1,447 times greater than the typical Apple employee's salary.

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https://www.bbc.com/news/business-64258289