Stellantis paid its former CEO, Carlos Tavares, more than $24 million (23.09 million euros) in total compensation last year.
The news, included in a filing Thursday with the U.S. Securities and Exchange Commission, comes a day after the automaker announced a 70% drop in net profit in 2024 compared with the year prior. The company said it had a net profit of $5.8 billion (5.5 billion euros) for the year, but a net loss of $133 million (127 million euros) in the second half.
Tavares left Stellantis abruptly at the beginning of December, although a search for his successor was already underway as the company faced an avalanche of issues, ranging from dropping sales to fights with its dealers, unions and suppliers.
Tavares’ compensation, which was down almost 37% from $39.5 million (36.5 million euros) in 2023, was 350 times that of the average worker’s last year, which was listed as $68,609 (65,993 euros) and which had also dropped from $73,195 (79,404 euros), according to the filing. Profit-sharing checks of $3,780 for the company's UAW members, to be paid next month, will fall almost 73% from what was paid in 2024.
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The company, which had been criticized for numerous rounds of job cuts, also reported a drop in the average number of employees from 271,292 to 259,118.
Tavares’ compensation included a $2.08 million (2 million euros) base salary, fringe benefits worth $74,047 (71,224 euros), a long-term incentive worth $21.33 million (20.5 million euros) and post-retirement benefits expense of $519,821 (500,000 euros).
The filing noted that “taking into consideration company performance and the principles of pay for performance in our remuneration approach, the CEO and executive leadership of the company received no annual performance bonus in 2024.”
In addition, Tavares’ separation agreement calls for a $2.08 million (2 million euros) severance and a $10.4 million (10 million euros) “milestone” connected to an incentive plan to be paid this year, according to the filing. References were also made to company shares as part of the agreement, but a company spokeswoman said those were reflected in the 2024 compensation.
The filing also noted compensation for Chairman John Elkann at $2.9 million (2.8 million euros) and Vice Chairman Robert Peugeot at $229,142 (220,405 euros).
Stellantis owns the Jeep, Ram, Chrysler, Dodge and Fiat brands.
Contact Eric D. Lawrence: elawrence@freepress.com. Become a subscriber. Submit a letter to the editor at freep.com/letters.