r/technology • u/geoxol • Jan 13 '23 • Bravo! 1 Helpful (Pro) 1

Apple CEO Tim Cook to take more than 40% pay cut Business

https://apnews.com/article/technology-apple-inc-tim-cook-business-d056553b10120c4a968b562cb7ece5d2
39.1k Upvotes

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5.0k

u/SLAV33 Jan 13 '23

If this happened instead of them laying off 100's or 1000's of employees good on him and Apple.

927

u/Beny1995 Jan 13 '23 edited Jan 13 '23

Unlikely. Tim Cooks' salary is $3m so -40%= $1.8m. I'd wager he isn't taking a cut on his bonuses.

Meanwhile Meta laying off 10,000 employees with an average wage of $100,000 (very conservative estimate) equals an annual saving of $1bn. Almost 1000 times more saving.

Now, if all apple SVPs and VPs take similar paycuts, we might be in the same ballpark.

Edit: yeah fair dos I didn't read the article, it's his TC getting cut not his salary. Still my point stands that the saving won't come close to layoffs.

742

u/wpScraps Jan 13 '23

"Apple Inc. said in a regulatory filing late Thursday that Cook’s target total compensation is $49 million for 2023, with a $3 million salary, $6 million cash incentive and $40 million in equity awards."

Cook has received a $3 million base salary for the past three years, but his total compensation — which includes the restricted awards — jumped from $14.8 million in 2020 to $98.7 million in 2021 and $99.4 million in 2022.

335

u/tingulz Jan 13 '23

That’s disgusting.

404

u/Jak_n_Dax Jan 13 '23 • Take My Energy

It really is.

How do I become a CEO?

155

u/blueberrywine Jan 13 '23

Just gotta send in your resume

139

u/Jak_n_Dax Jan 13 '23

That’s it?

Edit: guys it works! I’m rich now.

27

u/Kotopause Jan 13 '23

Damn! Too bad I don’t have a resume.

46

u/Charles_Whethers Jan 13 '23

Hit the "Pause" icon. It will show up once you do that.

8

u/Breathoflife727 Jan 13 '23

This took me too long to get. Take my upvote

2

u/Nanahamak Jan 13 '23

Why didn't we go to resume college. Dang it!

1

u/chiliedogg Jan 13 '23

I'll write one for you. I'll only charge 50 million dollars, and maybe WOTC it in 20 years and demand 25% of everything you ever made after receiving the resume.

1

u/Kotopause Jan 13 '23

Deal, but you guarantee that I’ll make at least 100 mil a year right after the resume is provided.

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u/Exelbirth Jan 13 '23

Just draft one up quick. Write down "qualifications: expert in not getting in the way of board decisions; avoid public spectacles that reflect poorly on company." You are now way more valuable than, say, Elon Musk.

3

u/ckal9 Jan 13 '23

That was fast how did you do it

11

u/Jak_n_Dax Jan 13 '23

Just got out my bootstraps and pulled real hard!

3

u/ckal9 Jan 13 '23

Still waiting for mine to trickle down!

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u/Hiding_in_the_Shower Jan 13 '23

He sent out his resume

1

u/burns_after_reading Jan 13 '23

The person reading your resume has to be your dad though.

1

u/[deleted] Jan 13 '23

Just wait until an AI replaces CEO’s. Or management positions. Can’t wait for that pearl clutching.

1

u/fighterpilotace1 Jan 13 '23

Wall Street hates this one trick!

8

u/Franky_Tops Jan 13 '23

Don't forget that firm handshake

3

u/greenroom628 Jan 13 '23

and looking at 'em square in the eye

2

u/eriksrx Jan 13 '23

Don't forget to wear a suit, polish your shoes and comb your hair. And the most important part -- big smile! According to my parents that's all it took in the motherfucking 70s.

2

u/lucklesspedestrian Jan 13 '23

The preferred candidate will have at least 5 years experience as CEO

1

u/ruckusgrass Jan 13 '23

Easy Apply on LinkedIn

6

u/Pomnom Jan 13 '23

I heard being 3 CEOs is even easier. How do I become 27 CEOs?

1

u/Jak_n_Dax Jan 13 '23

You just gotta pull a Me, Myself, and Irene.

25

u/[deleted] Jan 13 '23

Start a company, like Steve and Steve did.

49

u/catboyeconomiczone Jan 13 '23 edited Jan 13 '23

Be born with rich & well adjusted enough parents to have you placed in the most prestigious opportunities from grade school through college

Edit: Tim did actually grow from middle to upper class seemingly on his own. Apply this to every other CEO and Peloton owner you know.

69

u/23coconuts Jan 13 '23

Usually, yeah, but that doesn't really describe Tim Cook.

45

u/catboyeconomiczone Jan 13 '23

Yeah Tim deserves some cred. Rare case of true advancement through social classes

6

u/Salishseahound Jan 13 '23

Not that rare. Immigrant communities that come here and have some of the highest incomes of any group would laugh at you saying it's rare for them to climb the social ladder.

2

u/detectivepoopybutt Jan 13 '23

Sundar Pichai is also one

8

u/ConsciousFood201 Jan 13 '23

It doesn’t make sense that CEO’s make hundreds of millions of dollars to do a job anyone could do. If anyone could do a good job, they would find someone cheaper. If it was all about prestige and keeping the rich in power by only hiring other rich people, then Tim Cook wouldn’t be CEO.

The only reasons we hang on to the narrative is because A) sometimes CEO hires don’t work out and the person who fails isn’t punished enough by our artificial standards and B) we’re jealous that their job appears to be a lot easier while paying much better than our jobs.

9

u/blerggle Jan 13 '23

Most people can barely handle doing their basic ass job. Look around at your coworkers and tell me that Joe in procurement who fucks up the paperwork every. single. time. could just run a business tomorrow

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u/[deleted] Jan 13 '23 edited Jan 13 '23

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u/N1ghtshade3 Jan 13 '23

He grew up gay in Alabama with a dock worker father and pharmacist mother and went to a public in-state university. Truly the epitome of privileged.

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u/TravellingReallife Jan 13 '23

Well, did he had to walk to school? 15 miles one way, through snow? Barefoot? Both ways uphill? Through bees? No? Spoiled brat I say.

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u/bruhmoment69420epic2 Jan 13 '23

no don't you know? literally nobody ever works for their success. everything is just handed to them always.

-28

u/Gonorrheeeeaaaa Jan 13 '23

I get where you're coming from, but it is LARGELY the case.

Exceptions like this sure are awesome, though. :)

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u/jinqsi Jan 13 '23

It is largely the case that people who move from working to middle class are handed everything? Man no wonder so many of you hate capitalism.

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u/N1ghtshade3 Jan 13 '23

No, it's not largely the case.

You're jumping from an observation that it's easier for wealthy children to become wealthy adults than poor children to become wealthy adults to a conclusion that it's objectively easy--effortless, even--for people with a good upbringing to breeze right into positions of mega wealth. Easier does not mean easy.

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u/[deleted] Jan 14 '23

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u/Regular_Economist855 Jan 13 '23

I get what you're saying; he wasn't emerald mine owner rich or born into wealth in any way, but it absolutely is a privilege to be able to afford even public university. Pharmacists make great money and his father was probably union so also did ok. I doubt he ever wanted for like, meals or warmth as - what is it - something like a quarter of American children do?

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u/owenredditaccount Jan 13 '23

Where does this stop? Almost everybody can be called privileged for something in this logic

9

u/parker0215 Jan 13 '23

I don't respect my C-suite execs unless they were literally born in a muddy ditch and raised by dingoes

10

u/nxqv Jan 13 '23

Every single person in the US and Canada is "privileged" compared to 90% of the rest of the world's population.

Comparing yourself to others is a fool's errand, the only worthwhile comparison is to your own past and to your desired future

3

u/KidSock Jan 14 '23

If you have your own ceramic toilet bowl in your house with running water than you are “privileged” compared to a significant portion of the population.

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u/zvug Jan 13 '23

It’s a privilege to be alive with all your limbs and a working brain.

The point is you’re using privilege to diminish someone’s success and accomplishments when hundreds of millions of people had the same privilege Tim Cook did growing up. A handful become as successful as him.

6

u/usereddit Jan 13 '23

In America 0.7% of children in the US lived in households with very low food security.

https://www.ers.usda.gov/topics/food-nutrition-assistance/food-security-in-the-u-s/key-statistics-graphics/

25% was your assumption? Not to be mean, but maybe you should try public university.

(Meaning normal eating patterns of one or more household members were disrupted and food intake was reduced at times during the year because they had insufficient money or other resources for food.)

1

u/Regular_Economist855 Jan 14 '23 edited Jan 14 '23

Lol sorry it's only 1 in 8, you moron.

Edit: wtf it's the same link?! There really are shills on reddit that succeed because no one actually reads the articles.

You only counted "very low food security", you absolute chump? To say nothing of a warm bed. Do you rub one out to Tucker Carlson every night or just the nights you're not diddling kids?

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u/Adventurous-Quote180 Jan 13 '23

I mean, thats not really true. Ofc that helps, maybe even a requirement for big companies, but i know multiple people who were coming from poor families but they still become CEO-s of small/middle sized (max 400 employees) companies. They just worked their way up.

Either accounting or fp&a > CFO > CEO, or they come from an SAP analyst/consultant backroung. All of them were beginning their careers at big4 or consulting firms (like accenture). Ofc to even get there took a lot of work, like getting good grades at university, speaking multiple languages and having good internship experiences etc...

5

u/a_talking_face Jan 13 '23

having good internship experiences

This is really the golden ticket for big 4 and man are those spots competitive.

1

u/Adventurous-Quote180 Jan 13 '23

Yeah, it takes a lot of work to get there, at least in the US/UK. In my home country (hungary), its really easy to get into a big4 internship. Like you have to be really really dumb and lazy to not get in.

Edit: i was speaking about audit. Advisory is harder to get into in hungary too. (But usually for becoming a CEO audit is perfect.)

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u/[deleted] Jan 13 '23

Tim cook went to public school in Alabama and then fuckin auburn lol

2

u/tojakk Jan 13 '23

Nice hyperbole, would be a shame if reality ruined your fantasy

-1

u/DarkerFlameMaster Jan 13 '23

Of course once in the prestigious school you still have to do well academically and socially.

But when surrounded by the best it's a lot easier than having to watch your back at an inner city school, in a high crime rate neighborhood learning hands on about the struggle and what's going on in the hood.

2

u/Croemato Jan 13 '23

I'm guessing your name is reference to Jak and Daxter? I really wish Naughty Dog would give us a remaster or, better yet, a new game. I think they are literally my favorite games of all time.

1

u/Jak_n_Dax Jan 13 '23

Yes! My favorite trilogy of all time as well! I went from Crash Bandicoot as a kid to those games, some of the best gaming years ever.

I would love a remaster, as long as they did it right like they did with Crash and Spyro.

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u/kingrazor001 Jan 13 '23

The Youtube channel "How Money Works" actually has a video on this. Apparently you should start by getting an engineering degree.

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u/Wordpad25 Jan 14 '23

Ughh keep it mind that any advice will be a generation or two behind as demographics of CEOs is a moving target

2

u/FuckYouOp42069 Jan 14 '23

Be a psychopath

1

u/Jak_n_Dax Jan 14 '23

Climb aboard the murder train!

4

u/thbb Jan 13 '23

Honestly, I know a few high level execs still far below the likes of Cook or Zuckerberg, and I really don't envy them.

Having to go through your personal secretary to organize your time offs, which friends you're going to see when (never anything impromptu), being on call 24/7 because a large customer at the other end of the world demanded to talk to someone in charge, never getting some deep, focused time, where you can, for instance, write a novel, study quantum physics or do something that really takes some focus, being surrounded by yes men who spend their time playing dirty with each other and you never know who to trust...

No, that's not my life.

4

u/[deleted] Jan 13 '23

This has to be copy pasta or something.

3

u/TheMadFlyentist Jan 14 '23

Hmm, this is an interesting take because I learned from reddit that CEO's don't actually do anything.

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u/bcuap10 Jan 13 '23

20% skill/hard work

40% networking

40% pure luck

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u/[deleted] Jan 13 '23

What would be a reasonable compensation for someone leading a $2.1 Trillion company?

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u/mrmaestoso Jan 13 '23 edited Jan 13 '23

Whatever is leftover after ensuring your employees are compensated fairly and well.

Lol sure people, go ahead and rip this simple statement apart to mean whatever you want me to have meant

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u/TheResPublica Jan 13 '23

Do you know how much Apple developers make? Download Blind and read those conversations for a week.

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u/mad_crabs Jan 13 '23

Apple has some of the most well compensated employees in tech. A lot of them will be paid via equity as well which is huge when they're working at literally the most valuable company in the world (2.1T market cap).

There are times to be disgusted at CEO compensation, this isn't one of them.

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u/[deleted] Jan 13 '23

So the CEO gets whatever profits the company makes? What does the owner get then?

Apple made over $100Bn in profits last year btw.

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u/mrmaestoso Jan 13 '23

That's not what I said, but ok

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u/barnwecp Jan 13 '23

… that’s actually literally what you said

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u/[deleted] Jan 14 '23

So what are you saying?

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u/PM_your_cats_n_racks Jan 14 '23

The usual approach is to measure the CEO's salary against the median worker's salary within that company, or the lowest paid worker's salary. There have been various efforts to limit the ratio to somewhere around 5:1 or 8:1 when compared to the median, or 12:1 or 20:1 when compared to the lowest.

I don't know if those ratios are the right ratios, but they don't seem crazy. So if you want to figure out what Tim Cook should earn, then picking one of those would probably be reasonable.

Like all publicly traded companies in the US, Apple does publish this pay ratio as required by the Dodd–Frank act. When compared to the median employee at the company, Time Cook had a pay ratio of 1,447:1 in 2021.

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u/[deleted] Jan 14 '23

So being the CEO of a 100k employee company would pay effectively the same as a 20 employee company? That doesn't seem reasonable.

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u/PM_your_cats_n_racks Jan 15 '23

So in principle compensation should be tied to the work that you do, not to how many employees you have or how big your dick is or any other arbitrary measurement. This is the 'fair' approach. A CEO of a small company likely works as hard or harder than the CEO of a large company. The issue with this is really about incentives.

People like the idea of setting ratios, as the examples I gave above, because it incentivizes the CEO to elevate the employees of that company. The CEO can make more money by raising the median or lowest salary of the other employees. In this way, the CEO is working on behalf of the employees. Many people think that this is what a company should be, and how it should work.

For the case of Apple, as with almost all publicly traded companies, the CEO does have incentives, but those incentives are tied to the stock price of the company. The CEO makes more money when the stock price goes up. In this way, the CEO is working on behalf on the shareholders. Many stockholders think that this is what a company should be, and how it should work.

Since it's the shareholders who get to decide on who the CEO is and how that person is compensated, it isn't a surprise that this is the model which wins out. This connection is why the CEOs of large companies make more money than the CEOs of small ones. It's not about fairness.

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u/zimm0who0net Jan 13 '23

Dude, he runs literally the largest company in the world. If you want disgusting, how about the fact that Russell Wilson gets $250M to throw a ball around 16 days a year. And he’s actually really bad at doing it.

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u/functionallylazy Jan 13 '23

Wilson's compensation is ridiculous, but it's not as simple as throwing a ball around 16 days a year. They added a 17th game last season.

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u/Emergency_Bluejay397 Jan 13 '23

Important distinction. Thanks for the clarity 🙏

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u/EcclesiasticalVanity Jan 13 '23

It only took him till the 14th game to score as many touchdowns as has bathrooms in his home.

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u/Raven_Skyhawk Jan 13 '23

I can be disgusted at both!

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u/random_account6721 Jan 14 '23

Focus on building yourself up rather than what other people deserve

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u/Mr_friend_ Jan 13 '23

Exactly right! Or NBA stars that get paid $100 million and can't hit a free throw when everyone else stands still and waits.

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u/SquisherX Jan 13 '23

Zimm0who0net: Why should I pay you $300? All you did was change a fuse. It literally took you 2 minutes to fix. Do you really think you're worth $9000 per hour?

Electrician: ಠ_ಠ

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u/skyandbray Jan 13 '23

That's due to the power of unions. Are we against that? His "product" brings in billions of dollars to the owners. Collective bargaining got them 50% of the revenue to go to payroll.

If he wasn't making 250m over 6 years, the billionaire owner would instead. The worker or ownership, who's side are you on?

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u/RedditIsOverMan Jan 13 '23

I don't think the pay of the top performing athletes comes down so much to players unions.

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u/skyandbray Jan 13 '23

It absolutely does. The CBA requires 50% of profit to go to payroll. That was due to the unions demands.

It wouldn't be so much money if so many people weren't consuming the product.

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u/DropKletterworks Jan 13 '23

CBA's aren't for the top 10-20 paid athletes. They're so owners don't spend 20% of revenue on 2-5 players and 1% on the rest of the team. Teams always shelled out for stars, the issue is every other player was getting brain damage for peanuts.

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u/skyandbray Jan 13 '23

They have a salary cap along with a salary floor. They have to spend x amount of money to avoid penalties. It has to go somewhere. It going to the most valuable position in sports makes perfect business sense.

End of the day, they are all just employees bringing value to their employer.

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u/RedditIsOverMan Jan 13 '23

Way-to-go players unions!

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u/cannibalisticapple Jan 13 '23

Athletes, especially NFL players, can at least have some justification for high salaries because they can get permanently disabled or even killed from injuries. I don't think they deserve 9-digit salaries/contracts, but they risk a lot more than CEOs in cushy office jobs so I'd say they deserve the higher compensation more.

They also seem to have a lot more pressure to be involved in charity work than CEOs and other rich people. Really wonder when society shifted away from rich people flaunting their wealth through charity and good deeds, like the Carnegie libraries.

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u/SublimeDolphin Jan 13 '23

In response to your Carnegie example, all those guys did all their philanthropic work at the very end of their life after having made more money than anyone could ever spend.

Not to downplay the lasting societal impact some of those projects have had, but let’s not pretend they weren’t called “Robber-Barons” for 90% of their lives. They just had the good sense near the end to try to leave a more positive legacy.

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u/Buckles01 Jan 13 '23

I can’t stress this enough. I see so many people praise Carnegie and Frick, especially through Pittsburgh, but his selfish actions literally killed thousands of people and my hometown still struggles today to recover from the lasting leadership and societal issues that those events transpired. Guy was an asshole his whole life and right before he died he wanted to change public view, but I will never believe he changed himself.

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u/ineedastoge Jan 13 '23

People who complain about athlete wages are weird as hell

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u/futurepersonified Jan 13 '23

thats also not disgusting. by the same logic hes top 1% of people who play football on the planet so he deserves it even if hes playing like ass

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u/stagarenadoor Jan 13 '23

He also throws a ball around a lot more than 16 days a year. Training and practice don’t count I guess.

1

u/Myllorelion Jan 14 '23

By that same logic though, what does the president of the United States make? What about the top 50 positions in the executive branch? Is it even comparable?

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u/Bioslack Jan 13 '23

Dude, he runs literally the largest company in the world.

Regardless of what else you said, that right there is simply not true by any possible metric.

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u/Ok-Engineering-6135 Jan 13 '23 • Wholesome Seal of Approval

How is getting stock for the company u work at as a ceo disgusting??

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u/tingulz Jan 13 '23

The amount of compensation CEOs get is disgusting.

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u/zhephyx Jan 13 '23

Why? Because he makes key decisions in one of the most profitable tech companies to ever exist, where employees in his city are paid extremely well? That's like being mad that a pro athlete is getting a 20mil dollar contract - be brings in the value he's getting.

Now, the sweatshops on the other hand are more than questionable

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u/tingulz Jan 13 '23

There is still an enormous wealth gap and the CEO would have nothing without the many employees which could be paid better or not laid off.

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u/MidnightUsed6413 Jan 13 '23

The employees would also have nothing if he ran the company into the ground. Also, Apple pays its employees notoriously well, so wtf are you even on about? $2m is peanuts for a CEO of a trillion dollar company, and the value of the equity he vests in addition to that is literally 100% dependent on how well he runs the company.

There are many cases where executives are grossly overpaid and employees are grossly underpaid, this is not one of them.

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u/Hypern1ke Jan 13 '23

The employees would have nothing if Apple didn't exist to pay them extremely competitive salaries and make most of them millionaires lmao

4

u/TheResPublica Jan 13 '23

Apple laid off 50 employees in the Apple News division while pretty much everyone else in tech was laying off 10-20% of their workforce. It isn't a charity. Sometimes businesses need to move in another direction or give up on a certain product set.

4

u/anonteje Jan 14 '23

This is such a "the world hates me" comment. Of course the ceo of one of the world's most successful enterprises ever deserves a good payday, and it's not like Apple employees aren't great off already. Stop blaming the world for ur misfortune and take some responsibility.

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u/MidnightUsed6413 Jan 13 '23

Watching redditors Dunning-Kruger’ing the concept of running a trillion dollar business is one of my favorite pastimes

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u/est94 Jan 13 '23

Agreed. I don’t pretend to know too much about these things, but there are CEOs of far less valuable companies taking far more compensation for doing far less. Add on the fact that Tim Cook took the reins from Steve Jobs AND he was not born into wealth, and he becomes a hard person to criticize from any angle. The guy is brilliant, humble, hard working, and appears to prioritize the longevity of the company and the welfare of the employees over his own compensation.

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u/Ok-Engineering-6135 Jan 13 '23

Does the ceo not deserve to get part ownership of the company? If ur angry about the amount, ur not angry that he’s getting compensated, ur angry that apple is worth that much

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u/foreverNever22 Jan 13 '23

I don't see how it's disgusting.

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u/Baikken Jan 13 '23

/r/antiwork subs that have no idea about how anything works have a very black and white view of corporate America.

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u/[deleted] Jan 13 '23

He's getting more money than most people will see in their lives while people build his products in sweatshops. The wealth given to him would serve society much better if it was used for even the most basic shit, like feeding people or housing people.

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u/Ok-Engineering-6135 Jan 13 '23

How are you gonna feed people with apple stock? Also, why the fuck would apple sell their own company for housing? Not their job. Their job is to build phones. Not build houses and food.

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u/[deleted] Jan 13 '23

Thats my point, our system of greed makes them make millions and funnel it into their own wallets, I don't give a fuck about stock my guy, as far as I am concerned ownership of a company should belong to the workers doing the design, building, and marketing of those phones, not the assholes paying them tablescraps while they pay themselves millions

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u/Ok-Engineering-6135 Jan 13 '23

They do? Engineers also get stock bonuses. Not sure why u think apple engineers get paid table scraps, just a junior software engineer makes 150k. That’s the starting salary. Some make 500k. If those are table scraps I am in need of table scraps.

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u/[deleted] Jan 13 '23

I didn't just say engineers

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u/Points_To_You Jan 13 '23

The people building his products are highly compensated engineers.

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u/[deleted] Jan 13 '23

They are mainly constructed by Foxconn, who is well known for their horrible treatment of workers. People were fleeing the Iphone factory as recently as november, so no they are most definitely not highly compensated engineers

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u/JerryMau5 Jan 13 '23

Notable products manufactured by Foxconn include the BlackBerry,[5] iPad,[6] iPhone, iPod,[7] Kindle,[8] all Nintendo gaming systems since the GameCube (except subsequent Nintendo DS models), Nokia devices, Sony devices (including the PlayStation 3 and PlayStation 4 gaming consoles), Google Pixel devices, Xiaomi devices, every successor to Microsoft's first Xbox console,[9] and several CPU sockets, including the TR4 CPU socket on some motherboards. As of 2012, Foxconn factories manufactured an estimated 40% of all consumer electronics sold worldwide.[10]

I hope you’re ready to boycott all your electronics than

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u/LovingTurtle69 Jan 13 '23

The world doesn't run on sunshine and butterflies the sooner you realize that the sooner you'll be better off.

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u/[deleted] Jan 13 '23

Never said it does

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u/RepublicanzFuckKidz Jan 13 '23

because fiduciary duty puts the company stock value above all other things ... like say the life of the workers, or the environment on the planet

so agreeing to do that, makes you disgusting.

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u/Ok-Engineering-6135 Jan 13 '23

U really have no idea wat ur talking about do u? Those are not mutually exclusive. Increasing stock value and life of workers can both increase. The thing is, it’s not that companies don’t care, the people don’t care. If they did, it would affect the stock price, then the company would be forced to adjust and care for workers. U want ur 5$ shein shirt, so u might say u care about workers, but ur actions don’t.

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u/[deleted] Jan 13 '23

[removed] — view removed comment

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u/astrange Jan 13 '23

CEOs do not have "fiduciary duty" to shareholders to max profits. That is not a thing.

https://www.businessinsider.com/tim-cook-versus-a-conservative-think-tank-2014-2

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u/Paolo2ss Jan 13 '23

Why? He should be payed a lot. Apple has a bigger budget/net worth than some countries.

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u/pohui Jan 13 '23

The presidents/PMs of those countries don't earn nearly as much.

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u/TacoMedic Jan 14 '23

Nor do they do anywhere near as much.

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u/ChillyBearGrylls Jan 13 '23

Lol you try and run one of the most successful transnational entities the human species has produced.

The largest Western companies are more valuable than entire non-Western countries.

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u/[deleted] Jan 14 '23

Also, the market capitalization of Apple is like twice the Netherlands. It’s a ridiculously large and insanely profitable company.

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u/Dumbass1171 Jan 13 '23

People here acting as if being the CEO of a multibillion dollar corporation is easy

7

u/anonteje Jan 14 '23

People complain about the man devoting his entire life to his work, while they are sitting on the sofa, drinking beer, and trying to minimize their effort put into work...

2

u/BigGreen1769 Jan 14 '23 edited Jan 15 '23

More people would care about their work if they were actually paid fairly and had a living wage.

2

u/Dumbass1171 Jan 14 '23

America has one of the highest median incomes in the world

1

u/iNoo00ooNi Jan 14 '23

I feel like William the Conqueror had a harder job.

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u/coffeeandweed58 Jan 14 '23

Stupid easy. Maybe the road to get there was difficult but you’re living the good life once you hit level.

It’s not like Tim is spending hours doing programming or anything. Dude sits in meetings, then a meet and greet with some employees, meeting with other big wigs in other companies/industries, then heads home. $84m in compensation is an insane amount of money

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u/NutInMyCouchCushions Jan 14 '23

It’s an insane amount of money but the dude helms a trillion dollar company that’s one of the most recognizable in the world. Under his leadership apple has grown like crazy. He deserves it. You’re insane if you think that’s an easy job

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u/coffeeandweed58 Jan 14 '23

It’s incredibly easy to sit in meetings, listen and delegate. Hundreds, if not thousands, of people under him could do the exact same thing. I’m not saying he shouldn’t be compensated for how the company does but $84m is absurd when you are easily replaceable and the company wouldn’t miss a beat. Doesn’t matter how much the company is making a year.

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u/NutInMyCouchCushions Jan 14 '23

Good leadership is incredibly hard to come by. I’ve been working in corporate tech my entire career and having a good leader is so rare and valuable it’s not even funny. Good leadership isn’t easy to replace at all.

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u/TacoMedic Jan 14 '23 edited Jan 14 '23

Yeah, all these people saying Tim has an easy job are outing themselves as students, idiots, or blue collar self-employed contractors. Anyone who has worked in any properly structured organization for a few years can give you dozens of examples of either shit leaders losing millions for their company or, more likely, meh leaders that bring nothing to the table. An actual good leader that knows how to motivate employees, can see what needs to be done, and actually provides value to their organization is worth their weight in gold.

Leadership looks easy, but if it was then no company would go out of business.

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u/phoenixmeetsthedwarf Jan 14 '23

Right, so you’re not a CEO of a multi-billion dollar company simply by your own choice not to be I guess.

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u/lonnie123 Jan 14 '23

These convos never go anywhere because people are talking about different things. For example, any office job or c-suite job is "easier" than the easiest construction job if you are talking about actual work being done. But only certain people are cut out for effective and successful CEO type work (which makes it "hard" to do). But its mostly a decision making position, and not a labor position.

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u/coffeeandweed58 Jan 14 '23

Oh I agree but $84m in compensation is insane when hundred, or even thousands, of people under him could also do the same thing. Even crazier when you think he can be replaced relatively easily and Apple wouldn’t miss a beat

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u/lonnie123 Jan 14 '23 edited Jan 14 '23

I guess thats defined by what “could do the job” means

If Steve Jobs hadn’t spear headed the iPhone and it’s follow ups would apple be the company it is today? The presumption is that these people take unique risks, see unique opportunities, create unique markets, etc… that Joe in accounting wouldn’t. Plenty of businesses fail every day, and apple almost did before Jobs came back, so he did do something different that apparently no one else there could think of.

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u/coffeeandweed58 Jan 14 '23

But that’s the rub isn’t it? Apple really isn’t innovating anything these days. Tim and Steve are very different in terms of CEOs. Yes, some replacements would fail ie Chapek at Disney, but it still doesn’t discount the fact that Tim could be replaced by an equally competent person.

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u/abaggins Jan 13 '23

You get money for providing value. He provides the company apple value by creating products people will pay for.

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u/tingulz Jan 13 '23

He doesn’t create any products. His employees do.

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u/ILOVEBOPIT Jan 14 '23

What do you think he does?

You think they’re paying a guy that much because they like him? If they could get someone else to do the job for less without detriment to the company, they would. There’s a reason they don’t just hire Joe blow for his job and pay him the $300k he would take. They pay him for his value. You understand nothing.

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u/zero0n3 Jan 13 '23

Is it though? For being the CEO of one of if not the largest tech company in the world?

Like compare that to Musk who’s CEO and owns a large swathe of shares.

Cook is only worth 2 billion.

I’d say, OVERALL, it’s not terribly extreme.

I’d be happy if most companies kept their top pay tied to 100x the smallest (here it was 3 mil to 30k).

The issue is stock compensation. We should strive for a new type of corporate entity that is a mix between non-profit and for profit. A co-op type.

Every employee gets a slice of the ownership. On creation of the entity, you allocate x % of the ownership as employee owned, and then establish rules on how that piece is sliced up among employees.

Most of this can already be done, but I’d want to see tax incentives for the business as the structure itself puts more money into employees as income, meaning more income tax as the company is forced to not hoard money. (Either the company declares profits which will also go to employees, or they try to keep it as close to break even and salaries are higher, research and dev is full speed, essentially they spend more to keep as close to showing no profit.)

So a company shows 1 billion in profit in a year?
If they allocated 30% to employee profit sharing, we’re talking 300 million spread among employees. That’s 300k if it’s 1k employees, 30k if it’s 10k. Employees. Probably something like 10k average across 30k employees. Also, it’s taxed lower than a bonus so you’ll see 8k instead of 5k

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u/marfes3 Jan 13 '23

It’s actually laughably little in comparison to some compensation if you look at Apples profit

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u/LIVES_IN_CANADA Jan 13 '23

The restricted awards are typically stock and the number of stock is determined ahead of time. When apple added another T of value during the money printing saga, Cook got paid $$$

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u/PragmaticPenguin85 Jan 13 '23

Of all CEOs, Tim Cook is one of the few who actually are literally invaluable to the company. He was Steve Jobs’ right hand man from the beginning of the Apple comeback.

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u/trog1660 Jan 13 '23

Is it any more disgusting than a sports player earning a similar salary?

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u/futurepersonified Jan 13 '23

no its not. its not Apple's fault the government wont enforce livable conditions for the rest of us

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u/RabidGuineaPig007 Jan 13 '23

They installed suicide nets at Foxconn. He's a humanitarian.

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u/DDS-PBS Jan 13 '23

Yes, it is. When you get a "40% paycut" but your annual salary is still the equivalent to winning the lottery, it doesn't matter.

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u/synergyandalignment Jan 13 '23

What he earns in two weeks (125K before tax) is more than twice the average annual salary in the US. Gross.

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u/ssbm_rando Jan 13 '23

Honestly that seems like less than most fortune 500 company CEOs make in "total compensation" still.

Like, more broadly, what I just said is certainly disgusting, but as an individual company, Apple actually sounds... a lot better than average on CEO-pay-to-corporate-profit ratio? And it proves that they're adjusting his compensation down by $50 million for the year (rather than the $1.8 mil that Beny randomly guessed at because he didn't read the fucking article at all) which actually would offset up to 200 engineers (or more of non-engineering positions) worth of layoffs?

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u/FrankAches Jan 13 '23

Yeah instead of 300x the lowest employee, he's generously only taking 180x his lowest employee! Fuck him. Unless it's a 99% pay cut idgaf

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u/blueberrywalrus Jan 13 '23

At least he's relatively worth the price, compared to a lot of CEOs. I mean, carrying the touch after Steve Jobs is no small fear.

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u/TheKZA Jan 13 '23

He’s also giving it all to charity when he dies

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u/NutInMyCouchCushions Jan 14 '23

He’s the head of the most recognizable and valuable brand on earth. His leadership is the reason apple is what it is today. He makes less than 0.50% of what the company is worth.

Why is his salary “disgusting”?

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u/mw19078 Jan 13 '23

Insane that it isn't illegal honestly. A maximum wage is needed just as badly as a minimum wage (which also needs to be increased)

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u/RickAstleyletmedown Jan 13 '23

Yeah, talk about a misleading headline. His total compensation will drop 40% but will still be more than 300% higher than it was in 2020. I would kill for that kind of "pay cut".

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u/CapitalCreature Jan 13 '23

Yes, people usually compare this year's income to last year's income when they describe pay raises or pay cuts.

It's weird that you're complaining that it's misleading that they're not comparing it to 2020 when he made $14 million when he made $125 million in 2019 and $136 million in 2018.

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u/lsda Jan 13 '23

That's so weird I wonder if something happened in 2020 I forgot about

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u/RobtheNavigator Jan 14 '23

I wish I could forget about what happened in 2020…

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u/elf1980 Jan 13 '23

There’s the rub.

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u/morbihann Jan 13 '23

Poor Tim.

Those Apple employees should really double down on their work. Their CEO is not growing richer fast enough !

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u/ssbm_rando Jan 13 '23

Why are people taking this opportunity to dunk on Tim, it's literally right there in the article that it was Tim's own recommendation for the board to lower his compensation package when he could've just as easily recommended some other way for Apple to save money.

Yes capitalism is a fucking hellscape but Tim Cook isn't one of the larger problems in Silicon Valley.

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u/reddof Jan 13 '23

It was his recommendation after 36% of shareholders voted that his compensation was too high (compared to only 5% the previous year). It was technically still his recommendation, but something was likely going to happen regardless. If the vote kept trending that direction then it could lead to him being ousted as CEO. This is his attempt to get in front of shareholder disapproval.

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u/[deleted] Jan 13 '23

Wow, perhaps he should just take $1 For the rest of his tenure. Then I would take him seriously.

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u/f-ingsteveglansberg Jan 13 '23

6 million cash incentive? Sorry how is that not salary. If my boss said he was paying my 10 dollars an hour but giving me a 5 dollar per hour cash incentive, that just means I'm on 15 dollars an hour.

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u/Points_To_You Jan 13 '23

I’d imagine the cash incentive is paid when he meets certain goals and targets set by the shareholders.

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u/thisguyhasaname Jan 13 '23

Because it's not a guarantee. It's a "if you do good enough you get extra money"

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