Financing

Starbucks CEO Kevin Johnson received a big pay increase last year

His total pay package topped $20 million in 2021, up 39% over 2020, as the company’s sales and stock price strength returned.
Starbucks CEO Kevin Johnson pay
Photograph: Shutterstock

Kevin Johnson is getting a bump in pay.

The CEO of Starbucks received a total pay package of $20.4 million in the 2021 fiscal year, according to a new federal securities filing.

That represents a 39% pay increase over the year before, when Johnson received total pay worth about $14.7 million. It’s a 6% increase over 2019, before the pandemic.

Johnson’s pay, like most executives of publicly traded companies, comes mostly from stock awards and other incentives. Johnson received $1.6 million in salary.

He also received $14.7 million in stock awards and another $4 million in incentive compensation.

Starbucks’ stock price during the company’s 2021 fiscal year, which ended Oct. 3, increased about 21%.

The company largely recovered from the pandemic. Revenues increased 23.6% during the year to $29 billion. Net earnings, meanwhile, were nearly $4.2 billion.

Starbucks awards its annual bonus based on a combination of financial performance and individual performance based on a variety of factors, such as mentorship, inclusive leadership and working to improve the environment. Stock awards are based on stock and earnings performance as well as diversity metrics.

Among other company executives, Rachel Ruggeri, who became CFO in February, received $3.3 million in compensation. John Culver, who was promoted to chief operating officer from international group president in June, earned $9.4 million. Rachel Gonzalez, the company’s general counsel, made $5.3 million. Michael Conway, president of international, made $6.5 million.

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