Chevron boosted compensation for incoming CEO Wirth in 2017

HOUSTON (Reuters) - Chevron Corp boosted the pay for executive Mike Wirth last year by more than 25 percent ahead of his appointment as chief executive in early 2018, the oil producer said on Tuesday.

Wirth, who became CEO in February and was previously the company's vice chairman, earned compensation last year of $11.7 million, up from $6.5 million in 2016.

The compensation includes a base salary increase of 13 percent to $1.2 million as well as stock awards. Chevron paid roughly $350,000 to bolster security at Wirth's home and about $16,000 for a medical checkup and related costs for its incoming CEO.

 

It is not uncommon for companies to insist on tighter security for incoming CEOs. Chevron, like many peers, also has its CEOs travel on company-owned aircraft, even for personal matters.

It was not immediately clear what Wirth's salary is in his new role, though it likely is far higher than what he was being paid at the end of 2017.

Chevron awarded outgoing CEO John Watson $24.8 million in compensation for 2017, roughly 1 percent higher than the prior year, as the company swung to an annual profit of $9.2 billion.

Watson's compensation in 2017 was 180 times larger than the median compensation of $137,849 for Chevron's 52,953 employees.

Chevron will hold its annual shareholder meeting on May 30 at its headquarters in San Ramon, Calif.

Shareholders will consider proposals on climate change and executive compensation, though those votes will be nonbinding.

(Reporting by Ernest Scheyder; Editing by Richard Chang and Jonathan Oatis)