Amazon CEO Andy Jassy received a salary package valued at $ 212.7 million in 2021, marking a significant increase in compensation for the boss during his first year running the technology giant, according to a company archiving with the U.S. Securities and Exchange Commission on Friday.
Almost all of Jassy’s compensation comes in the form of share options that will be earned over 10 years, according to the notification. Jassy’s compensation for 2021 marks a sixfold increase in his salary in 2020, when he was head of Amazon’s profit-generating cloud-based arm AWS.
Jassy became Amazon’s CEO last summer and replaced Jeff Bezos, who continues to serve as CEO of Amazon’s board but resigned as CEO to focus on his space company Blue Origin and other ventures. Bezos’ salary remained unchanged at almost $ 1.7 million, although his holdings in Amazon shares make him the second richest person in the world, according to Bloomberg Billionaires Index.
Amazon’s revelation came above all same day as worker on a Staten Island, New York, created stock history by voting to form the first American union in the technology giant’s 27-year history. It also comes amid a separate ballot for union elections in an Amazon warehouse in Bessemer, Alabama, which ended Thursday with the result of the vote too close to call – because the number of ballot papers challenged by either the union or Amazon is large enough to influence the final results.
Massive share awards are not uncommon for incoming CEOs as they are intended to give executives an even greater share of companies’ results directly. For example, when Sundar Pichai took over as CEO of Google’s parent company Alphabet’s in 2019, he received one-time awards that over time totaled approximately $ 240 million, according to a the company’s SEC report. However, Pichai did not receive any share awards as part of its 2020 compensation, as of a subsequent one archiving.