As state and national conversations around corporate governance intensify, Oregon CEO pay moves up — and down.
A couple of weeks ago the New York Times published its annual list of the 200 highest paid executives of public companies in the country.
Nike CEO Mark Parker was the only Oregon executive who made the list.
The top 200 saw a hefty boost in compensation, fueled by a soaring stock market, a strong economy and job market.
Compensation packages fattened for many Oregon public company executives too, according to proxy statements filed for fiscal year 2016.
CEO pay figures into ongoing state and national conversations about income inequality, corporate responsibility and business tax rates.
The Trump Administration is considering rolling back a Dodd-Frank rule that would force publicly-traded companies to reveal the ratio of a CEO’s salary to that of the average worker employed by the company. We reported on this rule here.
President Trump has also called for a cut in corporate tax rates.
Last year, the Portland city council voted to impose a tax on companies whose chief executives earn more than 100 times the median pay of their rank-and-file workers. It is unclear how this proposal will move forward if the Dodd-Frank rule is rescinded.
Oregon lawmakers are considering several corporate tax proposals to help fill the state’s $1.8B budget gap.
Here’s a look at 2016 compensation packages for CEOs of Oregon public companies:
Parker led the pack. His compensation almost tripled in 2016 to $47.6 million. The increase came from stock awards valued at $33,500,142, compared to $3,500,28 in 2015.
Tamara Lundgren, CEO of Schnitzer Steel, bagged a hefty $2 million raise. Her compensation rose from $5,509,049 in 2015 to $7,070,553 in 2016. Most of the new earnings came from stock awards valued at $4,299,969.
Schnitzer stock rose by 84.6% in 2016. Revenues, however, declined, a function of a soft metals market.
Gregg Kantor, CEO of Northwest Natural, retired at the end of 2016. Kantor racked up a 115% increase: $3,240,919 in 2016, up from $2,515,980 in 2015. His pension value and deferred compensation earnings skyrocketed last year.
James Piro, PGE’s chief executive, earned $3,317,633 in 2016, up from $3,069,751 in 2015. PGE stock returns were up by 23% in 2016.
James Berneau, CEO of Willamette Valley Vineyards, brought in $663,451 last year, up from $436,446 in 2015. Berneau’s compensation included a $356,000 bonus, compared to $128,195 in 2015.
Craft Brew Alliance CEO Andrew Thomas took home $1,086,852 in 2016, up from $1,039,535 in 2015. Thomas’ stock awards rose from $237,320 in 2015 to $404,148 in 2016.
Not all CEOs saw an increase in portfolio value.
Andrew Teich, retiring CEO of Flir, saw his compensation decline by 30%, from $8.2 million to $5.7 million. The deficit resulted from a change in pension value, from $2,467,193 in 2015 to $600,325 in 2016.
Columbia Sportswear CEO Tim Boyle’s compensation package lost 25.92% in value. Boyle earned $2,281,827 in 2016, down from $3,080,147 in 2015.
About half of Boyle’s earnings came from cash incentives and bonuses for meeting performance targets: he earned $848,020 under Columbia’s executive incentive compensation plan and $494,204 by achieving performance objectives established for his long-term incentive cash award.
Columbia’s 2016 net sales increased over 2015 by $50.9 million, or 2%, to $2.38 billion.
Lithia Motors CEO Brian DeBoer’s earnings clocked in at $4,476,396 last year, compared to $5,377,692 in 2015.
Electro Scientific industries CEO Edward Grady brought in $2,659,492 in 2015, compared to $1,876,203 in 2016.
Grady’s stock awards declined from $1,185,200 in 2015 to $957,100 in 2016.
Bill Furman, CEO of Greenbrier, netted $6,544,136 in 2016, compared to $6,945,131 in 2015. The payout included a $2,075,095 cash bonus for meeting 2016 performance targets.
Radisys CEO Brian Bronson brought home $1,923,879 in 2016, compared to $2,148,555 in 2015. The chief executive earned a cash bonus of $469,173, equal to 94% of his target performance award. Bronson earned an $850,000 bonus in 2015.