Disney’s Bob Iger to give up salary amid coronavirus outbreak
Disney’s executive chairman Bob Iger said Monday he will give up his salary amid the coronavirus outbreak, although the sacrifice will make a relatively small dent in his total compensation.
One of media’s highest-paid execs, Iger is taking his pay cut just days after Disney said it would shutter Disneyland Resort in Anaheim, Calif., and Walt Disney World Resort in Orlando, Fla., until “further notice.”
For fiscal 2019, Iger banked a whopping $47.5 million in total compensation as CEO, of which his salary accounted for just $3 million.
News of the pay cut was delivered by Iger’s successor as CEO, Bob Chapek, who also said his $2.5 million base salary — which doesn’t include other compensation of up to $22.5 million in bonuses — will get chopped in half.
Starting April 5, all vice presidents at the company also will have their salaries trimmed by 20 percent, while senior vice presidents and executive vice presidents will see their pay slashed by 25 percent and 30 percent, respectively.
“In a matter of weeks, we’ve experienced widespread disruption across our company, with our domestic parks and hotels closed indefinitely, our cruise line suspended, our film and TV production halted and theatrical distribution delayed both domestically and internationally, and our retail stores shut down,” Chapek wrote in a Monday email to staffers.
Iger’s massive pay package has attracted critics over the years, partly because of the huge number of Disney shares amassed by the exec during his 15-year tenure at the top. Last year, the bulk of Iger’s $47.5 million pay day, which was down from an eye-popping $65.6 million in fiscal 2018, was linked to performance-based rewards.
“Our world is facing an unprecedented crisis that has fundamentally upended our lives, creating uncertainty and hardship – while, at the same time, spurring kindness and compassion,” Chapek wrote. “The pandemic is also having a devastating impact on the global and U.S. economies, and it’s hitting businesses like ours particularly hard.”
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