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Apple to Tie Exec Bonuses to Climate, Social Goals

The initiative was reportedly announced in response to a shareholder proposal to cut executive pay.

Apple is making changes it believes will help drive results relating to the company’s goals.

Reuters has reported that Apple’s recent proxy filing details changes to how cash bonuses for executives will be calculated.

Reuters says the company will modify the bonuses “whether the executives act within the company’s social and environmental values.”

Apple has not outlined exactly how this will be assessed, but has identified “Apple Values” and company initiatives that will factor in.

It’s likely to include Apple’s charge, announced in July, to remove carbon from its supply chain by 2030.

Reuters adds that Apple announced the modifier in response to a shareholder proposal to cut executive pay to reduce the gap between the top brass and the average employee’s wage.

CEO Tim Cook’s salary is reportedly 256 times higher than the average Apple worker, who makes $57,783.

Executives could have their cash awards modified up or down by 10%.

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