San Francisco: Apple CEO Tim Cook has taken a huge pay cut of $35 million, or more than 40 per cent of his compensation, amid challenging global macroeconomic conditions.
Upon his own advice, Cook's pay will decrease from $84 million in 2022 to $49 million in 2023, according to a recent regulatory filing with the US Securities Exchange Commission (SEC), according to The Verge.
The equity value adjustment is the sole cause of the pay change.
That value was projected to be worth $75 million in 2022. However, because of the economic downturn, that amount falls to $40 million this year.
Cook's base salary of $3 million and his annual cash incentive of $6 million will remain the same.
The compensation committee on Apple's board are balanced shareholder feedback, Apple's exceptional performance, and a recommendation from Mr. Cook to adjust his compensation in light of the feedback received," read the SEC filing.
"Cook actually made $99.4 million in 2022, according to the filing," the report said.
Amid iPhone production challenges in China owing to Covid-related disruptions, Apple's market cap has dropped $1 trillion from its peak a year ago.
Like many other tech companies, Apple has been hit by supply chain issues.
A new wave of Covid infections in the only large economy dealing with such an issue has hurt its manufacturing in China.
Although Apple's market value has decreased dramatically, other prominent technology businesses have seen percentage reductions that are more dramatic.
According to the analysis, shares of Amazon and Facebook parent company Meta have decreased by almost 50% and 63%, respectively, during the previous year.
With inputs from Agencies.
