Ford Motor Company (NYSE:F)’s current President and CEO Jim Hackett was paid $16.7 million last year. However, his predecessor Mark Fields was paid $23.5 million before he was ousted in May. This was revealed by the company’s annual proxy statement, which was released on Thursday.
The total compensation that the company paid to Hackett exceeded the $12 million that Fiat Chrysler Automobiles paid Sergio Marchionne, its CEO. General Motors is yet to release its proxy.
In 2016, GM paid $22.6 million in compensation to its CEO Mary Barra in a year that saw Fields make $22.1 million.
Of the Detroit Three automakers, Ford had the most troubling and turbulent year in 2017. The company’s stock fell by around 2% in 2017. This year, the stock has slumped by an additional 12%.
The company’s pre-tax profit in 2017 dropped to $1.9 billion compared to what it recorded in 2016. This drop, according to the company, was caused by higher than expected costs for aluminum and steel, which it said increased the 2018 costs by a further $1.6 billion.
The cost increased after the Trump administration imposed a 25% tariff on all imported steel and 10% tariff on aluminum, which was announced earlier this month, although Mexico and Canada have been exempted from the tariffs.
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On March 22, Robert Lighthizer , the U.S. Trade Representative announced Brazil , Argentina, the European Union, South Korea and Australia would also will be exempt from the tarrifs.
Before his promotion in May 2017, Hackett, who is a former CEO at Steelcase and athletic director at the University of Michigan, was in charge of Ford’s Smart Mobility unit, a unit that Ford established so as to prepare for autonomous vehicles, shuttle services, and ride-hailing plus other transportation options away from personal vehicle ownership.
The total compensation the company’s Executive Chairman Bill Ford raised by 12.7% to $15,626,099 mainly reflecting an increase in stock awards which are valued at around $10.3 million.
The third largest paid leader by the automaker is Jim Farley who is the president of the global market. He is paid a total of $13,473,558, which is more than twice the $6.6 million which he earned in 2016.