Jump to content

Ford CEO Jim Hackett received $17.36 million in compensation in 2019


Recommended Posts

2 hours ago, akirby said:

BTW - am I the only one who doesn't give a rats behind whether the President, Governor, Senator or CEO is charismatic or not?   All I care about is what they do or don't do.  If they're likeable that's a bonus.

AK, From my perspective, not sure I think of the word "charismatic".  Charismatic to me conjures up images of "charmers".  And when someone is a "charmer", the other labels I might hang on them would be "bullshitter or even "phony".  Fine line IMO between all three.  Rather I would think of "believeable" as a more meaningful label.  And along with that label, I would say does the person have the complete package that at least in my mind includes relevant knowledge and a resume that fits the task at hand. 

Now I know many would say a good manager/leader is a good manager/leader regardless of the environment he is in,  I guess that is why you see so many CEO's who jump from one industry to another.

 

Again just my viewpoint that says Mulally with his background/experience, coupled with his sincere demeanor was a much better choice than a guy who was an AD at a university and ran an office furniture company.

 

But I agree with your point about results.  Do I like Trump's demeanor? NO.  Has he obtained some meaningful results?  IMO, yes.

  • Like 4
Link to comment
Share on other sites

5 hours ago, Joe771476 said:

Still too much money!


The cost to Ford of not having Jim Hackett as CEO is much, much greater than Hackett's compensation since he joined Ford in 2017. Hackett of course has a lot of work ahead of him getting Ford fit again. And investors and analysts are justified for criticizing him and other Ford executives for the slow pace of things at the company. But fixing any organizational culture as messed up as Ford's will take time, no way around it.

 

$17.36 million is trifling for the job Hackett has to do at Ford. And Hackett is the only person who can successfully do it right now.

Link to comment
Share on other sites

20 hours ago, jpd80 said:

Ford buys the stock on behalf of their executives but there's a stock price threshold

which prevents sale until the stock is above a predetermined value.

 

It's like saying to someone, two thirds of your wage will be witheld until our stock is above say, $8.00

 

I think jpd80 is correct on this since it says Hackett got a "Stock Award" which sounds different than stock options.   Perhaps the author selected the wrong words to describe the compensation. 

Link to comment
Share on other sites

4 hours ago, Fordowner said:

 

I think jpd80 is correct on this since it says Hackett got a "Stock Award" which sounds different than stock options.   Perhaps the author selected the wrong words to describe the compensation. 

Maybe I got it wrong but I thought they were prevented from cashing in their stock if it was below a certainty price,

perhaps I misread that as the minimum price they could exercise an option to buy more stock?

I'm not the sharpest tool in the shed when it comes to stock and investments.

Link to comment
Share on other sites

1 hour ago, jpd80 said:

Maybe I got it wrong but I thought they were prevented from cashing in their stock if it was below a certainty price,

perhaps I misread that as the minimum price they could exercise an option to buy more stock?

I'm not the sharpest tool in the shed when it comes to stock and investments.


I don’t think they restrict based on price but rather time.  You get x amount of stock at the current price or at a reduced price but you can’t do anything with it for x years.  Or you get the option to purchase later using the current price.  

  • Like 1
Link to comment
Share on other sites

  • 2 weeks later...

Good, now have him write a check for $10 million to the State of Michigan, and have Gates, Buffet, Bezos, Dalio etc. EACH write a check for $50 Billion and send it to the Treasury for dispersal to us paupers!  If not, end capitalism now.  Don't shoot me, I'm just the messenger!  This Dalio guy from Stamford CT donated $100 million to UConn.  On the front page of the Hartford Courant he said "capitalism isn't working, if we don't change it, there's going to be a revolution!"  He's right!  And this was BEFORE the Wuhan China virus!

Link to comment
Share on other sites

  • 2 weeks later...

Ahead of tomorrow's 1Q 2020 earnings announcment tomorrow, there's a good article in today's Detroit Free Press comparing Ford's 2019 net income with the total compensation for 6 top executives at Ford. https://www.freep.com/story/money/cars/ford/2020/04/27/ford-executives-salary-covid-19-strangles-economy/3027184001/

 

Quote

"The cumulative compensation for the six top executives at Ford Motor Co. — $70 million — exceeded the automaker's annual net income of $47 million in 2019, a year that included a botched Ford Explorer launch and billions in warranty costs.

 On Feb. 4, when reporting that annual profits plunged from $3.7 billion one year earlier, Chief Financial Officer Tim Stone characterized the situation as "not OK." 

Now, Ford faces a whole new set of financial and production issues since shuttering in late March because of COVID-19 safety concerns: In addition to getting plants running again, Ford must try and determine when to launch its high-profile Ford Bronco as well as the much-anticipated new F-150, both scheduled for 2020 releases."

Edited by rperez817
Link to comment
Share on other sites

From the article:

 

Quote

"Looking at executive pay in a single year can be misleading and misplaces the debate on an executive's earnings versus long-range value creation," said Marcus Hudson, executive director of the Calderone Advisory Group based in Birmingham, which advises suppliers in the automotive industry.

"The broader issue with Ford's CEO compensation isn't a single year, but rather the whole body of work," he said. "CEO pay is an investment on which investors should expect a return; Ford has invested over $50 million into its CEO position since 2017 and the return, pre-COVID-19 drop has been minus 26%. While pay in a single year is debatable, a minus 26% return over three years is not."

 

Edited by Harley Lover
  • Like 1
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×
  • Create New...