Despite safety probe, Toyota chair given $10M raise

Toyota Chairman Akio Toyoda’s Pay Package Increases Amid Shareholder Discontent

Despite facing record low shareholder support and a government probe into vehicle certification practices, Toyota Chairman Akio Toyoda’s pay package for the 2023 fiscal year increased by 62% to ¥1.62 billion ($10.2 million). The package included a salary of ¥289 million, bonus payments of ¥324 million, and approximately ¥1 billion in shares, making him the highest-paid Japanese executive for the third consecutive year.

However, Toyoda’s compensation still pales in comparison to the earnings of top executives at other global automakers. Stellantis’ Carlos Tavares made $39.5 million in 2023, while General Motors’ Mary Barra received $27.8 million in total compensation last year.

Despite the controversy surrounding the car safety probe, Toyota’s operational performance has been stellar. The company’s operating income reached a record ¥5.4 trillion in the 2023 fiscal year, surpassing the ¥5 trillion milestone for the first time in Japanese corporate history. Additionally, Toyota maintained its position as the world’s largest vehicle manufacturer for the fourth consecutive year, selling over 11 million passenger cars.

CEO Koji Sato, who joined the board in June 2023, has received ¥623 million in compensation since his appointment.