Stellantis CEO's direct compensation nearly $19M in 2021

Breana Noble
The Detroit News

The CEO of the maker of Jeep SUVs and Ram pickup trucks received $18.9 million (16.8 million euro) in direct compensation during his first year leading Stellantis NV.

Carlos Tavares' compensation includes a special $1.91 million (1.7 million euro) retention benefit. His total remuneration — which includes retirement and fringe benefits such as use of company cars, insurance and tax preparation — was $21.5 million (19.2 million euro), according to a U.S. Securities and Exchange Commission filing.

Stellantis CEO Carlos Tavares

Tavares' $19.6 million (17.5 million euro) remuneration without the retention benefit is about 298 times as much as the company's average employee compensation of $65,635 (58,475 euro).

Stellantis didn't disclose in its annual filing Tavares' compensation for 2020, the final year he was CEO of French automaker Groupe PSA before its merger with Fiat Chrysler Automobiles NV in January 2021. In 2019, Tavares received $8.3 million (7.6 million euros) in compensation at PSA. Former FCA CEO Mike Manley in 2020 received $10.4 million (8.61 million euro) in direct compensation.

Tavares' 2021 compensation breaks down to a base salary of $2.23 million (1.99 million euro). The remainder is based on performance, including an $8.44 million (7.52 million euro) bonus and a stock grant of $6.25 million (5.57 million euro).

Stellantis surpassed its adjusted operating income margin forecast for 2021, reporting a profit of $15.1 billion. It benefited from cost-cutting efforts and strong pricing because of high demand on low dealership inventories resulting from a global semiconductor shortage.

Stellantis chairman John Elkann, scion of the Fiat-founding Agnelli family, last year received $8.01 million (7.13 million euros) in direct compensation, a 242% increase from 2020. That includes a base salary of $860,226 (965,558 euro) and stock grant of $7.04 million (6.27 million euro). Total remuneration was $8.85 million (7.88 million euro).

Stellantis paid vice chairman Robert Peugeot a salary of $220,214 (196,191 euro) last year. His total remuneration was $228,734 (203,782 euro).

The automaker also disclosed compensation in 2021 for former FCA board members prior to the merger closing on Jan. 16 of last year and for any work afterward as a director. Manley, the former FCA CEO who worked as Stellantis' head of the Americas before leaving in November to lead AutoNation Inc., received $217,004 (193,332 euro) in compensation and $343,329 (305,876 euro) in total remuneration.

Richard Palmer, chief financial officer for FCA and now Stellantis, received $170,347 (151,764 euro) in direct compensation plus a $16.4 million (14.6 million euro) one-time cash retention benefit. His total remuneration was $16.6 million (14.8 million euro).

The estate of the former FCA CEO Sergio Marchionne, who died in 2018, also received $29.3 million (26.1 million euro).

General Motors Co. and Ford Motor Co. are expected to report executive compensation this spring for 2021. In recent years, GM CEO Mary Barra has been the highest-paid Detroit Three executive. She received nearly $23.7 million in 2020.

Jim Farley received $11.8 million in total compensation in 2020 from Ford Motor Co. after transitioning from president of new business, technology and strategy to chief operating officer in February 2020 and then to CEO the following October. His predecessor, Jim Hackett, received $16.7 million in total compensation.

bnoble@detroitnews.com

Twitter: @BreanaCNoble