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The CEO at J&J gets a big increase in pay.
March 11, 2015
By: TOM BRANNA
Whoa, baby! Johnson & Johnson Chairman and CEO Alex Gorsky saw his total compensation soar 48% last year to $25 million. The big bump in pay was due to an increase in stock and option awards. According to filings by J&J, Gorsky's stock and options awards rose more than 40% to $13.6 million. His base salary was up modestly, less than 4% to $1.5 million, but the CEO received a big boost in pension value. According a filing with the Securities and Exchange Commission, Gorsky's comp was based on the board's conclusion that J&J successfully executed near-term priorities, exceeded financial goals and built on momentum in its pharmaceutical business. Therefore J&J awarded Gorsky an annual performance bonus of 135% of target and long-term incentives at 130% of target. J&J's shares rose 14.2% last year, while net profit increased 18% and sales rose 4.2%.
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