On March 30 Disney announced its senior executives will take pay cuts as part of the company’s response to Coronavirus outbreak and the shut down to Disney World and parks worldwide.
Bob Chapek, the new President of the Disney Company who took over for Bob Iger, communicated that all senior executives will get less pay, effective April 5.
Chapek will reduce his salary 50%. His base salary is $2.5 million, and he is eligible for bonuses on top of that.
Bob Iger will forgo 100% of his salary.
Other executives will get less pay as well:
- Vice Presidents will get 20% less salary
- Senior Vice Presidents will get 25% less salary
- Executive Vice Presidents will get 30% less salary.
Sources report Chapek as saying, “This temporary action will remain in effect until we foresee a substantive recovery in our business.”
Disney executives take pay cuts. Good move?