Ever wondered how much the CEO of world’s biggest smartphone company earns? Well, certainly not more than one of his employees. According to the latest filings by the tech giant, its senior vice president of retail and online stores, Angela Ahrendts is once again its best-paid employee. According to the company filings with SEC, Angela took home $24.2 million (£18 million) in 2017 which is almost twice as much as CEO Tim Cook who earned $12.8 million (£9 million). However, the filing does not include a share award that Cook received in 2011, which equates to about £66.4 million.
As per the filings, Angela who looks after strategy, real estate and development, and operations of Apple’s physical stores, online store, and contact centres – received a salary of $1 million (£740,000). Apart from this, she was also paid $20 million (£15 million) in stock, $3.1 million (£2.3 million) in performance pay, and $88,000 (£65,000) in other compensation. In case you are surprised, there is no need to! Angela has been paid more than Cook every year since she joined Apple in 2014 from luxury fashion brand Burberry, where she was director and CEO.
“In 2017, Apple was above its target performance goals for both net sales and operating income, resulting in a payout of each named executive officer’s annual cash incentive at 155.5% of target,” the tech giant said in the filing.
It added that the executive compensation programme is designed to reward performance in a simple and effective way. “It reflects the unparalleled size, scope and success of Apple’s business, and the importance of our executive officers operating as a high-performing team, while focusing on key measures of profitability and the creation of shareholder value,” it said.
For the company’s 2017 fiscal year ended Sept. 30, Apple reported sales of $229.2 billion (up 6.3% from the year prior) and net income of $48.4 billion (up 5.8%)
Among the other top earners of 2017 was Apple’s finance chief Luca Maestri, hardware presidents Johny Srouji and Dan Riccio, and general counsel Bruce Sewell.
In the filing, the board also submitted the slate of eight nominees for reelection: Cook, Disney CEO Bob Iger, Al Gore, James Bell, Andrea Jung, Art Levinson, Ron Sugar, and Sue Wagner. Per Apple’s bylaws, each director elected at the annual meeting will serve a one-year term.