London
CNN
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Apple CEO Tim Prepare dinner has agreed to chop his pay this 12 months after shareholders rebelled.
The world’s largest tech firm stated it could scale back Prepare dinner’s goal pay bundle to $49 million, 40% decrease than his goal pay for 2022 and about half Prepare dinner’s $99.4 million complete compensation that he was granted final 12 months.
The overwhelming majority of Prepare dinner’s 2022 compensation — about 75% — was tied up in firm shares, with half of that depending on share worth efficiency.
However shareholders voted towards Prepare dinner’s pay bundle after Apple’s inventory fell almost 27% final 12 months. The vote is nonbinding, however the board’s compensation committee stated it took the vote into consideration.
“The compensation committee balanced shareholder suggestions, Apple’s distinctive efficiency, and a suggestion from Mr. Prepare dinner to regulate his compensation in gentle of the suggestions acquired,” the corporate stated in its annual proxy assertion launched Thursday.
This 12 months, the chief’s share award goal has been reduce to $40 million. About $30 million, or three-quarters, of that’s linked to share worth efficiency.
Prepare dinner’s base wage of $3 million will keep the identical, the corporate stated, in addition to a $6 million bonus.
The board stated it believes Prepare dinner’s new pay bundle is “conscious of shareholder suggestions, whereas persevering with each to align pay with efficiency and to acknowledge Mr. Prepare dinner’s excellent management.”
The tech boss, who has headed up Apple since 2011, is estimated to have a private wealth of $1.7 billion, in response to Forbes.
Apple’s share worth, like different tech firms, plunged final 12 months as coronavirus lockdowns shuttered a few of its factories in China. Provide chain bottlenecks and fears {that a} world financial slowdown would crimp demand additionally dragged down its inventory.
In January final 12 months, the tech large grew to become the primary publicly traded firm to notch a $3 trillion market capitalization, but has has shed almost $1 billion of that worth since.