Apple CEO Tim Cook to take more than 40% pay cut; Here's why

Apple CEO Tim Cook will take a more than 40 per cent pay cut this year from a year earlier as the company adjusts how it calculates his compensation partly based on a recommendation from Cook himself.

Apple Inc. said in a regulatory filing on January 12 that Cook's target total compensation is $49 million for 2023, with a $3 million base salary, and $6 million cash incentive — both unchanged from the previous year — and $40 million in equity awards.

Apple said its compensation committee took into account shareholder feedback, the company's performance and a recommendation from Cook, who was promoted to CEO in 2011, to adjust his compensation in light of the feedback received.

Apple said Cook supported the changes to his compensation.

In 2021, Cook received a compensation package valued at $98.7 million. Just $3 million of that was salary. The vast majority came from a grant of restricted stock, valued at $82.3 million.

The company will hold its annual meeting March 10.

In early trading, Apple shares edged down to $132.38. The stock has declined about 23 per cent in the past year. (AP)