Tim Cook, The current CEO of Apple, has announced the implementation of an unusual measure for an executive of his caliber, drastically reducing his income with a cut of the 40%
The technology industry has gone through complex moments throughout 2023. We saw the perfect example of this with the recent report on the global computer sales figures in the last 12 months.
There we saw how absolutely all manufacturers were impacted by a sharp drop in the sales index. Apple was the least affected, but did not escape the impact.
All at the same time that in recent weeks rumors began to circulate that the iphone it would not have maintained its projected average sales for its lower-end models, which would lead to sending the next model in the SE line to the freezer.
The factors suggest that these elements could be correlated, especially if we consider the most recent executive decision announced by Tim Cook himself.
Where the subject has decided to apply an extreme measure in his personal finances to favor the company in an apparent moment of crisis that would not be close to ending.
Tim Cook drops his pay by $49 million
Via their official website the signature of Cupertino has announced in a statement to its investors a new series of financial measures that it will implement from now on.
Where an important update on the compensation pay to Tim Cook stands out, who will now receive a significant salary cut for this 2023, with a decrease in his income of USD $49 million, which translates into a 40% reduction in his salary .
The document confirms that it was Cook himself who recommended the pay cut after acknowledging the general sentiment of Apple investors.
Originally, the executive’s pay amounted to an estimated USD $99.4 million in a complex framework where a good part of his income, about 75%, is linked to a certain number of Apple shares and the consequent increase or decrease in their value. .
Throughout the past 2022, Apple’s shares fell 27%, which also impacted Cook’s pocket at the same time that it triggered a reaction from other investors who pressured the CEO to adapt his pay due to the poor performance that the company had. company.
Tim Cook’s base salary remains unchanged, so he’s assured of at least $3 million in earnings, plus another possible $6 million bonus if he can improve stock returns.
In the end, the reason behind this adjustment was the pressure from the investors of the board of directors and the significant stock market drop suffered by the company.
