Apple boss Tim Cook will have his pay package cut by more than 40 percent this year, but it’s still $49 million.
The Cupertino giant said Mr. Cook demanded the reduction in response to shareholders’ criticism after the company’s stock plummeted last year.
The compensation committee at Apple agreed to pay him a total “target compensation” of $49 million for 2023.
Mr. Cook will also receive reduced restricted stock units if he steps down before 2026.
The committee said it contacted institutional shareholders to assess their thoughts regarding Cook’s pay.
It said: “Based on these important conversations, we have made changes to the size and structure of Tim’s 2023 compensation.”
Last year, the iPhone maker’s stock plummeted due to supply chain concerns and a worldwide economic crisis.
Cook earned just under $83 million in stock awards, $12 million in incentives, and $3 million in salary the same year.
He also received retirement plan contributions, security, personal air travel, and a vacation cash-out of nearly $46,000.
Apple’s compensation committee said the move was made in response to last year’s say-on-pay vote.
Cook’s salary was approved by 64 percent of shareholders in 2022, down from 95 percent in Apple’s fiscal year 2020.
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Despite the decision, Apple’s board of directors applauded Cook’s achievements and expressed confidence in the CEO’s long-term strategic plans.
Under Mr. Cook’s leadership, Apple was the first business to achieve a stock market valuation of $3 trillion before falling to around $2.1 trillion during a challenging year for the tech sector.
Lockdowns at Chinese factories, supply chain delays, and a global economic slowdown have all led to Apple’s share price falling by more than 20 percent over last year.