Per the filings, the CEO’s base salary is around $1.5 Million but $8.9 Million was earned through stock awards and $2 Million was earned in options.
IBM (International Business Machines) is an American multinational tech corporation where headquarters is established in Armonk, New York. IBM emphasizes computer hardware, software, consulting services, and hosting services.
The compensation held at $17.5 Million in 2021, has declined to $16.5 Million. The ratio of the CEO’s yearly total compensation to that of the average employee’s yearly total compensation is 271:1. The average annual compensation of employees was nearly $61,242.
CEO’s base salary wasn’t altered by the board which was previously the average target cash compensation of the 2023 benchmark group. These benchmarks were recorded amongst the benchmark group of CEOs in similar companies.
“He was granted an annual long-term incentive award valued at $17 million, which is the first increase since Mr. Krishna became CEO in 2020, and in line with the median of the 2023 benchmark group…For 2023, 77% of Mr. Krishna’s annual total target compensation is at risk and subject to the attainment of rigorous performance goals and IBM’s stock price performance,” the regulatory filing stated.
“In the past year, we took decisive steps to build a stronger IBM and helped our clients turn business challenges into opportunities. The market recognizes hybrid cloud and AI as the two most transformational technologies of our time and, for clients, they serve as fundamental sources of competitive advantage. Our consulting teams have brought these technologies to life for our clients to accelerate their digital transformations and enterprise automation journeys. We also continued a steady pace of acquisitions to bolster our portfolio, delivered innovations in infrastructure, strengthened our software portfolio, streamlined our go-to-market strategy, and expanded our ecosystem of partners,” TOI quoted Krishna as saying in a letter to shareholders.