New York, Europe Brief News – Apple CEO Tim Cook will take a 40% pay cut in 2023, lowering his compensation to $49 million, down from $84 million last year.
Both numbers are compensation targets and Cook’s 2022 pay totaled $99 million.
Cook’s equity awards will be reduced from $75 million to $40 million and will be more closely tied to stock performance.
Apple stock has appreciated over 1,200% since Cook became CEO in August 2011, far outpacing the S&P 500’s 290% return over this period.
The decision to reduce Cook’s came in response to pressure by institutional shareholders, after just 64% of shareholders approved of Cook’s 2022 compensation package.
Cook requested the change, Apple said in the filing, following a shareholder vote on his pay package. The company also reduced the number of restricted stock units Cook would receive if he retires before 2026.
In 2022, Cook made just under $83 million in stock awards, $12 million in incentives and $3 million in salary. He also got benefits including retirement plan contributions, security, personal air travel and more than $46,000 in vacation cash-out.
Apple’s compensation committee said it made the change in response to last year’s say-on-pay vote, in which 64% of shareholders approved of Cook’s compensation, down from 95% who approved it for Apple’s 2020 fiscal year.
Since Cook took over as CEO in 2011, Apple stock has returned 1,212% versus 290% for the S&P 500, Apple said.