Apple shareholders are being urged to vote against CEO Tim Cook's hefty bonus
Institutional Shareholder Services (ISS) urged Apple Inc
shareholders to vote against Chief Executive Officer Tim Cook's remuneration,
citing concerns about the size and structure of his equity award.
Apple's annual shareholder meeting will take place in the
first week of March.
"There are serious concerns about the design and
magnitude of CEO Cook's equity award in FY21... Half of the awards are devoid
of performance criteria "ISS stated in a letter dated Wednesday.
Cook received a salary of $3 million (roughly Rs. 20 crores)
in 2021. In addition, he received $82.3 million (approximately Rs. 620 crore)
in stock awards, $12 million (approximately Rs. 90 crore) for exceeding Apple's
targets, $1.4 million (approximately Rs. 10 crore) for air travel, 401(k) plan,
insurance premiums, and other benefits.
In total, he earned $98.7 million (approximately Rs. 740
crore) in 2021, up from $14.8 million (approximately Rs. 110 crore) the
He received 333,987 restricted stock units as part of a
long-term equity plan, his first stock grant since 2011. In 2023, he will be
eligible for additional units.
Cook's 2021 equity award was valued at $75 million by ISS
(roughly Rs. 560 crore). According to a January filing, his pay was 1,447 times
that of the average employee at the tech behemoth.
"Half of the $75 million (approximately Rs. 560 crore)
award is purely time-based, and the award would continue to vest in full in the
event of his retirement," according to ISS.
Apple declined to comment, referring to the company's proxy
filing, which details Cook's performance-based pay.