Starbucks Welcomes New CEO Brian Niccol With $113 Million Paycheck—And He Can Work Remotely
Starbucks announced on Wednesday that it will offer new CEO Brian Niccol, about 50 years old The total compensation is $113 million. includes a $10 million signing bonus, $75 million in equity grants and, starting in fiscal 2025, grants that could be worth $23 million per year. This is in addition to Niccol’s $1.6 million annual salary and annual cash bonuses that could range from $3.6 million to $7.2 million, depending on Niccol’s performance.
To start, Niccol job offer said he would not be required to relocate to the company’s Seattle headquarters, although he agreed to commute from his residence as needed. Chipotle Mexican Grill is headquartered in Newport Beach, Ca. Until he secures permanent secondary housing in Seattle, Starbucks has agreed to cover the cost of any temporary housing arrangements and a private driver to drive Niccol around Seattle. Starbucks has also promised him that it will set up a small remote office in Newport Beach, at Starbucks’ expense. He can also use Starbucks’ aircraft to travel between his home and headquarters, and his main office will be in Seattle, the company said.
“Brian Niccol has proven himself to be one of the most effective leaders in our industry, generating significant financial returns over many years,” a Starbucks spokesperson said in a statement to Luck“His compensation at Starbucks is directly tied to the performance of the company and the overall success of all our stakeholders. We are confident in his ability to deliver long-term, sustainable value to our partners, customers and shareholders.”
Niccol is replacing the departing man. CEO Laxman Narasimhanwho led the macchiato maker for 17 months and saw its stock price fall 23.9%. That resulted in a disappointing $32 billion loss in market capitalization.
The bulk of Niccol’s compensation from Starbucks is being used to replace the salary he left at Chipotle, the burrito-bowl restaurant empire he led for the past six years. At Chipotle, Niccol drove an 800% stock price increase and nearly a sevenfold increase in profits, Starbucks said in a statement. declareThe coffee giant’s board hopes he can bring similar growth to the struggling chain.
During the pandemic, Starbucks switched to remote work for its office workers. Three years later, founder Howard Schultz asked commuter workers to start coming in at least three days a week. At that time, Schultz said that remote work has “unintended consequences” and companies can lose the art of collaboration and connection to a common mission.
In addition to up to $250,000 in personal travel on the company jet, Niccol will have access to Starbucks’ executive fitness program. However, in keeping with Starbucks’ practice, he will now be barred from trading. coffee and milk future.
