Apple CEO Tim Cook Taking Substantial Pay Cut in 2023 After Earning Nearly $100 Million Last Year

[MacRumors]

Apple CEO Tim Cook's total compensation was $99.4 million in 2022, according to the company's proxy statement released today. His compensation included a $3 million salary, roughly $83 million in stock awards, and $13.4 million in other forms of compensation. Cook's total compensation in 2021 was $98.7 million.

Cook will be taking a substantial pay cut in 2023, as noted by Bloomberg's Mark Gurman. Based on shareholder feedback and Cook's recommendation to adjust his compensation in light of the feedback, the filing indicates that his target compensation for 2023 will be $49 million, which is over 40% less than his target compensation in 2022.

Despite the pay cut, Apple's Compensation Committee said the company had "exceptional performance" in 2022 under the leadership of Cook, who has served as CEO since 2011. The proxy statement indicates that the percentage of performance-based RSUs granted to Cook was increased from 50% to 75% of his 2023 target equity award.

Ahead of Apple's annual shareholders meeting on March 10, Cook shared a message to shareholders reflecting on the past year, with an excerpt below:

The global challenges with us all today — from inflation, to war in Eastern Europe, to the enduring impacts of the pandemic — make this a time for deliberate and thoughtful action. But it is not a time to retreat from the future. We’ve always run Apple for the long-term, and that means continuing to invest in innovation, in people, and in the positive difference we can make in the world.

Today, we have the strongest lineup of products and services we’ve ever had, and our technology has never shown up for our users in more ways. And our latest innovations are helping so many of us harness our creativity, connect with loved ones, find entertainment and joy, and live safer, healthier lives.

The full letter can be found on page six of the proxy statement linked above.

Article Link: Apple CEO Tim Cook Taking Substantial Pay Cut in 2023 After Earning Nearly $100 Million Last Year

 

[fel10]

Oh no. Let’s start a GoFund me for Tim. Sending thoughts and prayers.

 

[TheYayAreaLiving 🎗️]

As Mr. Tim Cook should! It starts from a top Leader on the totem pole.

 

[cjzielie]

definitely wasn't an innovation bonus thats for damn sure

 

[Scipster]

A drop in the bucket for a $2T company

As Bill Gates used to say, "once you get beyond a million dollars, it's still the same hamburger"

 

[NEPOBABY]

As long as he doesn’t take financial advice from Cathie Wood he’ll be ok.

 

[TheYayAreaLiving 🎗️]

definitely wasn't an innovation bonus thats for damn sure

The shareholders are not happy with the current iPad lineup. It's too confusing. My iPad Pencil (2nd generation) is useless right now and I don't have an iPad Pencil (1st generation). In addition, bring back the iPhone Mini. Only one person to blame over here.

 

[lovehateapple]

A drop in the bucket for a $2T company

As Bill Gates used to say, "once you get beyond a million dollars, it's still the same hamburger"

Is that adjusted for the dollar's loss in purchasing power (inflation)?

 

[tsa1]

$50 million less in his compensation means nothing to a company like Apple. Im in different to his pay. They could pay him 300 million for all I care.

 

[Leon Ze Professional]

Don't worry, he'll do just fine!

TBH, Tim has done a fine job steering the Apple mothership and strengthened Apples position in the marketplace.

 

[Skyscraperfan]

He might have to become influencer to compensate that loss. Or take part in "Celebrity Big Brother".

 

[TheYayAreaLiving 🎗️]

Don't worry, he'll do just fine!

TBH, Tim has done a fine job steering the Apple mothers-in-law and strengthened Apples position in the marketplace.

I agree with you 100%.

I love Tim Cook but it would be nice if someone else gets a chance to become the CEO of Apple. Someone who is not afraid of change, innovation and really enriching people's lives. Give others a chance!

 

[TL24]

Are we supposed to feel sorry for him?

 

[izyreal]

I wonder if this is signaling layoffs from Apple. You can hire 50-100 solid engineers with his pay cut, so maybe he took the pay cut to decrease blowback when he also cuts staff?

 

[BipedalOS]

With all that savings on payroll, maybe Apple can discount the Mac Pro wheels lol

 

[Mrkevinfinnerty]

they've deducted all those unsold 14 pluses from his pay

 

[TSteffen]

He had a contract… board signed off on it. Based on it he helped make a lot of money for a lot of people. Given the optics and the economy (now and predictions) he is cool with reworking compensation to what feels more appropriate (for his position and the moment). This is consistent with Mr. Cook’s character and leadership. It’s petty to snark. How much relative to profitability did some other tech leaders make last year? Did they take a cut?

 

[CarAnalogy]

Hard to tell if this is Cook admitting he didn’t do a great job last year, setting the example for belt tightening to come, or both.

 

[tann]

Well many people I know can’t afford the new Apple prices here in Europe, maybe they’re just anticipating a less good year generally.

A lot of other increased costs to pay for first before trying to upgrade the phone now.

 

[Analog Kid]

Did a quick search and found out this guy got paid more than $46M in 2019 and still takes his Trapper Keeper to work:

(CEO of Pinterest)

 

[nwcs]

A $1 salary with no other compensation except for some free devices would be a more meaningful gesture. He already has more money than he will ever spend in his remaining time. At this level these people aren’t driven by money anyway.

 

[JPack]

Kind of tells you the expected product performance this year.

• iPhone 15 is a minor refresh
• M2 Pro/Max isn't going to do much
• AR/VR is expensive and targeted at professionals
• Qualcomm will still be Apple's baseband supplier

Not much supply chain savings or new products. 2023 will be a bit of a meh year.

 

[TheYayAreaLiving 🎗️]

Hard to tell if this is Cook admitting he didn’t do a great job last year, setting the example for belt tightening to come, or both.

Tim Cook isn’t going to admit it. I’m sure he knows exactly where he went wrong. This is one of the prime examples here. Hopefully, 2023 is the year Tim Cook will really care for Apple’s true vision and core values.

First up, stop charging people a full price for small incremental upgrades.

https://twitter.com/x/status/1599154335278977025

 

[lazyrighteye]

I wonder if this is signaling layoffs from Apple. You can hire 50-100 solid engineers with his pay cut, so maybe he took the pay cut to decrease blowback when he also cuts staff?

That thought did cross my mind.

Like chum in the water, this thread is sure to be an insufferable blood bath in mere minutes.

 

[lazyrighteye]

Kind of tells you the expected product performance this year.

• iPhone 15 is a minor refresh
• M2 Pro/Max isn't going to do much
• AR/VR is expensive and targeted at professionals
• Qualcomm will still be Apple's baseband supplier

Not much supply chain savings or new products. 2023 will be a bit of a meh year.

I’m thinking less product performance and much more about the economy’s performance. Unfortunately.
Good luck all!