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Tag - Compensation
According to documents filed with the federal Securities and Exchange Commission, Apple CEO Tim Cook earned $10.3 million, which was actually less than most of the other members of Apple's executive team. Cook received his $2 million annual salary, performance bonuses totaling $8 million, and "other"compensation of around $280,000, which may be related to travel and security expenses. The total is approximately $1 million more than he was compensated in 2014, but revenue for the company grew its revenue by $50 billion and net income by $15 billion over the course of fiscal 2015.
Despite a previous dismissal of an earlier version of the lawsuit, a US District Court judge has ruled that Apple must face a trial in a class-action lawsuit over the practice of "bag checks," a standard retail loss-prevention technique that is widespread among retailers. The specific dispute in the case involving Apple was that employees complained they were being detained for up to 15 minutes after their shift had ended, without compensation for the lost time.
While many sufferers would call the move years overdue, Apple has now officially launched a repair program to fix MacBook Pro models sold between February 2011 and February 2013 that exhibited issues with distorted video, loss of video, or unexpected restarts. The program will start tomorrow, February 20 in the US and Canada, and on February 27 in other countries, and will repair the machines at no charge. Additionally, owners who have already paid for repairs may be eligible for compensation.
In a new filing with the SEC, Apple revealed on Thursday that CEO Tim Cook has been able to double his total compensation from that of last year, with the increase based largely on performance bonuses based on how well the company has done over the last year. In addition to $1.75 million in salary, Cook reaped $6.7 million in non-equity incentive compensation for his work. In addition, Apple disclosed in the filing that board member Millard "Mickey" Drexler will retire.
Apple has won in a pair of lawsuits lodged in the summer of 2013 by disgruntled employees that charged the company with a form of "wage theft" by not paying workers while they were being checked during mandatory security and loss-prevention screenings. Citing a Supreme Court decision in a similar case, Federal Court Judge William Alsop ruled that such screenings are not "integral and indispensable" parts of the retail workers' jobs, therefore the plaintiffs were not entitled to compensation for the time spent in such activities.
Though the media generally reports that Apple CEO Tim Cook has "earned" hundreds of millions of dollars in compensation, in fact most of the money attributed to Apple's chief is theoretical, and comes in the form of stock options or Restricted Stock Units -- potential rewards Cook may never see, and won't vest for years to come. For 2013, Cook's actual yearly compensation package totalled $4.3 million, a slight rise from the $4.17 million he made last year, his first full year as CEO.
Silicon Valley companies have long used restricted-stock units and other "equity grants" either as rewards and compensation or as incentive to improve the value of a company. During the dot-com boom of the late 90s, stock options and other similar perks were common. The Wall Street Journal reports on a study by compensation-research firm Equilar that shows that Apple has ended up granting two of the largest equity grants in the history of tech companies.
Apple's CEO Steve Jobs dropped from No. 1 to No. 11 on Forbes' list of Top Paid Tech CEOs, while Larry Ellison (Oracle, $192m), Nabell Gareeb (MEMC Electronic Materials, $80m), John Chambers (Cisco, $55m), Mark Hurd (HP, $28m), Jen-Hsun Huang (Nvidia, $25m) were among the top (respectively). In 2006, Jobs took home a staggering $646 million (mostly bellied by his stock package), while Jobs "only" received $14.6 million in compensation. The publication notes that the percentage of top paid tech CEOs among the top 100 most richly compensated CEOs has decreased considerably and Tech CEOs no longer dominate the latter.
Apple has officially announced its annual meeting of shareholders, where stockowners will elect the company's Board of Directors and ratify the appointment of KPMG LLP as Apple's independent registered public accounting firm for fiscal year 2008. Also on the agenda are considerations for two shareholder proposals, which are listed below. The meeting is scheduled to take place on March 4th at 10:00 a.m. local time in Building 4 on the company's Cupertino campus.