Starbucks Corp (NASDAQ:SBUX, ETR:SRB)'s new boss Brian Niccol is set to receive a sign-on pay package worth up to $113.2 million, one of the largest such deals in corporate history, and four times the amount given to his predecessor, Laxman Narasimhan.
Formerly chief executive at Chipotle, Niccol takes over the Seattle-based coffee chain on 9 September and will work remotely from his home in Newport Beach, California.
Starbucks has agreed to set him up in an office, provide a local assistant and give him access to the company’s plane to travel to Seattle.
The $113.2 million package includes a $10 million sign-on bonus, $75 million in stock options to compensate for shares he will forfeit from Chipotle, and an annual salary of $1.6 million.
Additionally, Niccol will have the opportunity to earn up to $23 million in share-based bonuses each year, along with a nearly $3.6 million cash bonus contingent on the company’s performance.
Narasimhan, who joined Starbucks from the UK consumer goods group Reckitt in April 2023, was paid $14.6 million by Starbucks last year.
Starbucks said Niccol had “proven himself to be one of the most effective leaders in our industry, generating significant financial returns over many years”.