It has been a good week for Mark Fields. Being bumped up to CEO of Ford, Fields waves goodbye to his old position as chief operating officer. He will be taking Alan Mulally’s vacant position, as Mulally retired Tuesday, July 1, according to USA Today. There is a lot of chatter about the new adjustment, but there seems to be high hopes for Fields’ success.
Ford wasted no time acknowledging Fields as a highly esteemed individual. CNN reported his pay increased from $1.54 million as COO to $1.75 million on day one of being CEO. There are not many people who would be less than ecstatic with a 14 percent pay increase in 24 hours.
“Ford also granted Fields a performance-tied bonus that could be worth $3.5 million, and 710,227 stock options, according to the filing,” stated CNN. Fields received $10.2 million in total payment during 2013, and Mulally was granted $23.2 million. It looks like Fields will be obtaining a substantial salary in more ways than one.
“This is not jaw dropping for the executive compensation world. This reflects a decision by the board to raise his 2014 compensation to CEO levels, but they haven’t pushed it to stratospheric levels,” said Gary Hewitt, managing director at New York-based GMI, in an interview with Bloomberg News.
The only question is if Fields will do his job as thoroughly as Mulally did. Most signs are pointing to yes, as Fields helped Mulally save the company and lead it through potential bankruptcy and other financial dilemmas, according to CNN.
Mulally is set to keep Ford’s company jet service and housing through Aug. 31.