According to foreign media reports, according to Ford's annual power of attorney filed on March 18, Ford Ceo Jim Farley's total compensation soared 93% in 2021 to reach $22.8 million (about 145 million yuan), his first year as CEO.
Farley's compensation growth was driven by the stock awards he received, which more than tripled from 2020 to about $16 million (about $102 million). Farley's compensation includes a base salary of $1.7 million (up 19% from 2020) and $830,305 in private jet royalties.
Jim Farley Image credit: Ford
Despite the challenge of semiconductor shortages, Ford achieved a net profit of $17.9 billion in 2021 and a net loss of $1.3 billion in 2020 due to the spread of COVID-19. In 2021, Ford's adjusted EBIT was $10 billion (about four times that of 2020) and its EBIT margin was 7.3 percent, Ford's strongest performance since 2016. Ford's revenue increased from $127 billion in 2020 to $136 billion, surpassing GM for the second consecutive year.
Ford's outstanding performance in 2021 has brought a number of objective bonuses to the company's executives, including $3.7 million for Farley and $2 million for Chief Financial Officer John Lawler. The Ford Compensation Committee said that because of Luo Lixiang's "outstanding performance" in 2021, they calculated the criteria for Calculating Luo Lixiang's bonus differently than others. Luo Lixiang's total salary jumped about 60% to $9.4 million in 2021.
The Ford Compensation Committee said, "Despite the continued impact of the COVID-19 pandemic in 2019 and global supply chain issues that have severely impacted our performance and vehicle production, Luo Lixiang has performed well during his tenure as Chief Financial Officer in 2021. Specifically, despite loss of production due to a shortage of semiconductor supply, the company's financial results were higher than planned and it resumed its dividend in the fourth quarter of 2021. Mr. Luo also made significant efforts to strengthen its balance sheet, not only helping the company buy back and redeem $7.6 billion of high-cost debt, deleveraging, but also significantly reducing the company's ongoing interest expense. "
Bill Ford Image source: Ford
Ford Chairman Bill Ford's total compensation rose about 16 percent to $18.6 million. His base salary is still $1.7 million, but the stock reward has more than doubled to $13.8 million, along with $400,895 in private jet royalties and $1.3 million in security expenses.
In addition, Farley, Lori and Bill received $685,319, $181,229 and $405,000 in prize money, respectively, to reward their contributions to the company in addressing the challenges of COVID-19.
Two of Ford's top-grossing executives in 2021 also saw two new additions — Michael Amend, chief enterprise technology officer, and Doug Field, chief electric vehicle and digital systems officer. Amend joined Ford last September with a total compensation of $12.8 million, which includes a base salary of $227,275 and a bonus of $800,000. Field also joined Ford last September with a total compensation of $10.8 million, including a base salary of $159,092 and a bonus of $500,000.