Tokyo/Osaka: Nissan Motor Co. president Carlos Ghosn, one of Japan’s best-paid executives, received more than 1 billion yen ($9.58 million) in compensation for the second straight year after the carmaker’s profit climbed to a record.
Ghosn, 62, was paid a total of 1.07 billion yen for the 12 months ended 31 March, up 3.5% from a year earlier, according to a statement distributed at Nissan’s annual meeting on Wednesday in Yokohama, Japan. After posting record net income, Japan’s second-largest automaker has forecast profit in the current fiscal year will be little changed, as a stronger yen erodes overseas earnings.
While Ghosn’s pay at Nissan increased, his compensation as the chief executive officer (CEO) of French carmaker Renault SA was opposed by a majority of its shareholders led by the government. The executive is spearheading Nissan’s move to acquire a 34% stake in Mitsubishi Motors Corp., which disclosed in April it manipulated fuel economy ratings.
Renault shareholders voted against Ghosn’s €7.25 million ($8.2 million) paycheck for last year, as the French government led a pushback on pay for leaders of companies in which the government owns a stake. The protest was symbolic because remuneration is set by a supervisory board committee and only put to a consultation vote.
The average compensation in 2015 for CEOs at comparable global automakers rose 14% to $22.2 million, Nissan said, citing an analysis of public data compiled by consulting firm Towers Watson. Ford Motor Co. CEO Mark Fields earned $18.6 million last year, while General Motors Co. CEO Mary Barra received $28.6 million.
Ghosn’s pay is dwarfed by that of SoftBank Group Corp. president Nikesh Arora, who was paid 8.04 billion yen for the company’s latest fiscal year. SoftBank said on Tuesday that Arora will step down as president and remain with the company as an adviser. Bloomberg