Bobby Kotick voluntarily takes paycut as part of an agreement
Activision CEO Bobby Kotick will stay on until March 31, 2023, but will voluntarily be taking huge paycuts.
His base salary and bonuses will both be slashed by 50 percent as part of an employment extension agreement with the SEC to be consistent with company targets. It is stated the new structure "reflects shareholder feedback, incorporates market best practices, and continues to directly connect pay to performance".
Much of Kotick’s pay has been under scrutiny by CtW Investment Group who indicated that an average Activision employee would earn only a third of a percent of the CEO’s earnings. Plus the company has undergone several rounds of layoffs over the past three years.
Kotick’s salary has now gone from $1,750,000 to $875,000, but can earn bonuses of up to 200 percent of his base salary.
He’s still a rich man, while most of the middle and working classes are fighting to earn another paycheque.
What do you all think about CEOs and paycuts?