Brian Niccol, CEO of ChipotleAnjali Sundaram | CNBCStarbucks introduced incoming CEO and Chair Brian Niccol a pay bump and hefty one-time awards to trap him from his prior position as leader government at Chipotle Mexican Grill.Niccol formally takes the reins on the embattled espresso chain on Sept. 9. As CEO, he’s going to be tasked with turning across the corporate’s slumping gross sales, bettering shoppers’ enjoy inside of shops and understanding what to do with its suffering China trade. It is a giant enterprise — for which he’s going to be neatly compensated.Starbucks disclosed Niccol’s incoming pay plan in a submitting on Wednesday. Nearly all of his reimbursement package deal is made up of fairness that vests through the years, and is in line with corporate efficiency objectives and different metrics. In his first 12 months, his pay package deal might be value up to $116.8 million if the corporate hits its objectives and it absolutely vests. Niccol might be paid a base wage of $1.6 million every year, with the chance to earn as much as $7.2 million extra in money. He’s going to even be eligible for annual fairness awards value as much as $23 million.And for leaving Chipotle, Niccol will obtain a $10 million money bonus and $75 million in fairness to make up for what he is forfeiting together with his departure from the burrito chain. The fairness will vest over a three-to-four-year duration, in line with corporate efficiency and Niccol’s tenure.”Brian Niccol has confirmed himself to be one of the crucial efficient leaders in our trade, producing important monetary returns over a few years,” Starbucks stated in a commentary. “His reimbursement at Starbucks is tied immediately to the corporate’s efficiency and the shared good fortune of all our stakeholders. We are assured in his skill to ship long-term, enduring price for our companions, shoppers and shareholders.”At Chipotle, Niccol gathered a $1.3 million base wage ultimate 12 months, with a complete reimbursement of $22.5 million. Inventory awards and choices accounted for the majority of his income, however he additionally took house a money bonus of $5.2 million.Throughout his tenure at Chipotle, the inventory climbed 773%, fattening the price of his general reimbursement.Niccol’s pay package deal may be extra beneficiant than that of his ousted predecessor, Laxman Narasimhan. His base wage used to be $1.3 million, with conceivable money bonuses of as much as $5.85 million and fairness awards of $13.6 million, in step with filings. In fiscal 2023, Narasimhan’s reimbursement used to be valued at $14.6 million, in large part from inventory awards.Not like Narasimhan, who used to be in the past primarily based within the U.Ok., Niccol may not be required to relocate to Starbucks’ headquarters in Seattle.— CNBC’s Kate Rogers contributed to this record
