Image via CrunchBaseEric Schmidt, the recently stepped down C.E.O. of Google Inc. has finally felt the need of having a proper million dollar paycheck for his services at Google Inc., despite the paycheck of $1 since all the time he actually ran the company. He himself agreed to limit his annual salary to only $1 almost all the time of his employment as the C.E.O. of the company, which is around 10. But now finally Schmidt has agreed to receive a humble amount of $1.25 million raise in his new designation, which puts him as the executive chairman of the company. This huge raise was suggested and implement from 4th of April, the time when Schmidt officially gave up his post as C.E.O. to the former C.E.O and co-founder, Larry Page.
This modified compensation package will also grant Schmidt an annual bonus of as much as $6 million. While 55-years-old Schmidt, keeps his status among one of the wealthiest people on earth. He has a projected net worth of $7 billion which was generally added up by his stock of the company which be bought in 2001, and not his paycheck since it was only $1. Before Schmit the company was laying even below $90 million in the annual revenue, and last year just before his stepping down as the C.E.O., Google's annual revenue exceeded the unbelievable amount of $29 billion.
Google's board has also attempted several times previously to grand Schmidt a more worthy paycheck each year, but it was always rejected as he strictly remained to have the salary of $1. Schmidt has now finally made the decision of agreeing to this year’s request of Google board committee decision. The board also went on to offer him only a token type reward for his previous services for the company as the C.E.O, discloses the spokesmen of Google itself.
The current C.E.O’s and co-founders of Google Ine., Larry Page and Sergey Brin, despite having the fortunes of estimated $20 billion, remain consistent on only receiving the paychecks not more than $1. They have rejected all kinds of payment except the only $1,000 holiday bonus which the company offers to almost all the employees most years.
Agreeing together, all three key people of the company; Schmidt, Page and Brin, pledged to not have their pays above $1. This was to convey their intentions to all shareholders of the company that their strategy is to only give hard work for the company which results in higher stock price. As they are the largest shareholders of the company, simultaneously their own wealth boosts as much a s the stock price of the company.
Even though Google's stock are not at its peak price, as they were back in 2007. Despite being 30 percent down, the shares have still boosted up to even more than fivefold since Google was made public in 2004.
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