Volkswagen Chairman Winterkorn Accepting Pay Cut for 2012

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Chairman Martin Winterkorn is taking a 20% pay cut for 2012 over 2011, but do not worry he will still make €14 million ($18.7 million). This comes despite Volkswagen making a record profit and having record sales in 2012. Winterkorn is responding to criticism from the German media that the bonus structure at Volkswagen has led to too high of payment.

According to Der Spiegel, the entire Volkswagen board is debating on a compensation package for the future that would not lead to such high compensation. One proposal is to only pay board members' bonuses if the company has at least a €5 billion profit.  

Der Spiegel, which did not cite sources, also said VW's supervisory board would decide on a new compensation package for all management board members at its next meeting on Feb. 22.

If Winterkorn had not given back some of the money, he would have made about €20 million in total combining his salary, bonuses and other incentives. 

Source: Automotive News Europe