GE chief executive Larry Culpâs compensation faces scrutiny in shareholder vote
Union-backed organization is raising concerns about the size of CEOâs retention plan
By Jon Chesto Globe Staff,Updated May 3, 2021, 8:01 p.m.
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Larry Culp s compensation for 2020 as General Electric s CEO totaled about $73 million.Boston Globe/Photographer: Boston Globe/Bosto
By many accounts, Larry Culp did an admirable job steering General Electric through a hazardous year. But was his performance in 2020 worth $73 million to GE investors?
Weâre about to find out.
Most of the value of that compensation package can be attributed to an unusual retention plan that the Boston-based manufacturerâs board pledged to Culp in August â a potential bonanza that has come under fire in the weeks leading up to the companyâs annual meeting on Tuesday.
GE shareholders rebuke company over huge pay package for CEO
The move was prompted by an unusual retention plan offered to chief executive Larry Culp that could be worth $57 million.
By Jon Chesto Globe Staff,Updated May 4, 2021, 12:49 p.m.
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Billy Stephanides was part of a small group of Lynn factory workers who traveled to GE s headquarters in Fort Point to protest chief executive Larry Culp s pay package. The protest was intentionally timed to take place right before GE s annual meeting.Jonathan Wiggs/Globe Staff
General Electric shareholders issued a rare rebuke over the companyâs compensation program for its
Activision Blizzard has extended Bobby Kotick s employment agreement, which will see him serve as company CEO until at least March 31, 2023 but it comes with a pay cut.
As noted in a recent filing, Kotick s agreed-upon base salary has been voluntarily reduced by 50% to align with company targets. This equates to a $875,000 reduction.
In line with this, Kotick has also agreed to reduce his target annual bonus by 50%, a potential reduction of $1.75 million for fiscal years 2021 and 2022.
However, Kotick is still eligible to earn up to 200% of the reduced base salary, due to exceptional factors detailed in an extension amendment.
Activision Blizzard CEO Bobby Kotick Agreed to Cut His Base Salary and Annual Bonus by 50%, While His Contract Was Extended to March 31st, 2023 Apr 29, 2021 13:00 EDT
Activision Blizzard CEO Bobby Kotick came under fire recently when it was discovered that he would receive a $200 million cash bonus (while some of the company s employees suffered layoffs, too) before taxes. It wasn t just gamers that complained, even the CtW Investment Group put out a statement suggesting the bonus was unjustified.
In an SEC filing posted yesterday, the current Activision Blizzard CEO got his contract extended to March 31st, 2023 from the previous expiry date of December 31st, 2021. However, he also agreed to cut both his base salary and target annual bonus in half, thus bringing it in line with other peers.
Activision Blizzard CEO agrees to cut his pay by half
Following various criticisms from company shareholders, Activision Blizzard head honcho Bobby Kotick has agreed to cut his salary by 50% in a new employment agreement that’ll see him stick around until March 31, 2023, at the least.
That comes from a recent extension agreement (thanks, Wowhead) that further notes that the CEO voluntarily took the pay reduction to align his salary with company targets. The reduction equates to an $875,000 decrease, to put a number on it. Kotick has also agreed to reduce his target annual bonus by the same percentage, which could see a pay reduction of $1,750,000 for each fiscal year 2021 and 2022. It’s not all bad news for Kotick, though, as he could still earn an annual bonus to the tune of 200% of his reduced base salary in 2021 and 2022. The filing claims that the new deal better “reflects shareholder feedback, incorporates market best practices, and continues to directly connect pay to