It appears that CEOs are being hit the hardest by the recession, as many are taking reduced pay or pay cuts. According to reports, the latest addition to this trend is Amazon CEO Andy Jassy, who reportedly took a massive 92% pay cut in 2022.
According to a report by Fortune, Amazon’s proxy statement for the previous financial year indicated that its CEO, Andy Jassy, earned a total of $1,298,723 in 2022, comprising a salary of $317,500 and additional compensation of $981,223. This represents a significant 99% reduction from his total compensation in 2021 when he was granted $212 million in stock options that would vest over the next decade. Amazon clarified that the 2021 award was intended to cover most of Jassy’s compensation in the coming years and therefore had no plans to grant him more stock options in 2022 or 2023.
It is worth noting that Jassy is not the only CEO of FAANG (FAANG is an acronym for five of the best-performing tech-centric stocks of the past decade: Facebook (now Meta Platforms), Amazon, Apple, Netflix, and Google (now Alphabet))companies (an acronym for Facebook, Apple, Amazon, Netflix, and Google) that has recently experienced a reduction in pay.
Last year as we reported even Apple CEO Tim Cook also took a pay cut rather than firing the employees. Additionally, Google CEO Sundar Pichai is also reportedly taking a pay cut.
This article is prepared with inputs from Reuters.
