Oracle to cut CEO's salary to $1

Oracle to cut CEO's salary to $1

By SiliconIndia   |   Monday, 24 August 2009, 02:13 Hrs   |    12 Comments
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Oracle to cut CEO's salary to $1
Bangalore: Software giant Oracle has informed in a regulatory filing, to cut the salary of its Chief Executive Larry Ellison to $1 in fiscal 2010 as compared to $1 million in the previous year. But according to Forbes, he will still remain as the fourth richest person in the world.

"The compensation committee recognizes that Ellison has a significant equity interest in Oracle, but believes he should still receive annual compensation because he plays an active and vital role in our operations, strategy and growth. Nevertheless, during fiscal 2010, Ellison agreed to decrease his annual salary to $1," said the company in a filing.

The compensation packages of the CEO include a base salary, an annual cash bonus and stock options.

In fiscal year 2009, the bonus and stock options comprised 97 percent of Ellison's overall compensation. According to the company, only 1.2 percent was his base salary and 1.8 percent was other benefits,.

His new $1 base salary puts him with the likes of Apple CEO Steve Jobs and Google co-founders Sergey Brin and Larry Page, who also take home the same package.

Larry Ellison, 64, had founded Oracle in 1977, and according to the SEC filing, he owns 1.18 billion shares of Oracle, which is 23.4 percent of the company's total stock.

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Reader's comments(12)
1: These salary cuts of big guys won't make any difference to them. But will only be a publicity factor. Hope the reduction of his payslip helps in saving few other jobs.
Posted by:Anand Patil - 24 Aug, 2009
2: Dont be ecstatic guys, this money is not going into developers pocket! He'll probably buy another company.
Posted by:Bhupendra - 23 Aug, 2009
3: Wish Indian CEO's would take a leaf out of this book. If only Premji or Ashok Soota took home Rs.1/- salary, then all these layoffs and paycuts at junior levels could be avoided. Believe me, it would not make the slightest difference to their standard of living because their bank balances and shares are already of astronomical value.
Posted by:Wishful - 23 Aug, 2009
4: Its just mirage...Salary of Larry is like, money going from his one pocket to second pocket....
Posted by:Sudhir - 23 Aug, 2009
5: Is that $1 per annum? Why is Larry taking even that? lol
Posted by:MukeshS - 23 Aug, 2009
6: If he is still in the top richest list, what difference will this pay cut make?
Posted by:Sameer - 23 Aug, 2009
All the CEOs are rich persons. This shows his commitment to try to steer his company through recession without layoffs due to recession.
Other CEOs ought to learn it from him.
You would like to remember that among software giants, oracle is the only one, which has not laid off staff due to recession.
Sanjay Replied to: Sameer - 23 Aug, 2009
That means you don't have uptodate knowledge about layoffs...Oracle already laidoff many empoyees..Especially from sales team..

Pradeep Replied to: Sanjay - 24 Aug, 2009
Aree Chooran bana rahey hain hamara.
Vibhav Jain Replied to: Sanjay - 23 Aug, 2009
Guys, why worry so much about when he is taking million$. Have you read the bio of him ? even early days of Oracle ? wat about Steve and his apple ? Bill/Microsoft ? they were all stuck at the dark end of the tunnel for such a long time anyone else would give up. It is there hope, desire to better and intelligence that took them to where they are now. they defined the industry. they created jobs. atleast helped.. they certainly were the reason millions of people to hv decent enough life.

programmers ? wat programmers u r talking abt ? if those coders were so great why they did get out to create another oracle or apple or infosys ?

talking about lay offs ? wat big deal ? they were recruited at such a glory time and were paid heavenly.. what did they do ? how many of those highly paid 'employees' did anything to help change the world/help others ?

anyone can criticize. that costs nothing. it certainly doesnt require much brain either. creating an oracle or apple or wipro is for leaders. visionaries.

Manoj Replied to: Vibhav Jain - 24 Aug, 2009
"It is there hope, desire to better and ..."
Manoj Replied to: Manoj - 24 Aug, 2009
* " It is their hope, desire to do better and ...."
Manoj Replied to: Manoj - 24 Aug, 2009