Kaz Hirai made $1.6 million last year - Report

Sony CEO compensation for year that saw first profit in five years revealed in government filing.

by

Sony CEO Kazuo Hirai made ¥153 million ($1.6 million) in annual compensation for the past financial year, a period that saw the PlayStation maker post its first profit in five years.

That figure is up 74 percent from the ¥88 million ($900,000) he earned for the previous financial year, when he served as executive deputy president.

The figures were revealed in a company filing with Japan's Finance Ministry obtained by Bloomberg. The document also shows that former vice chairman Ryoji Chubachi received ¥194 million ($1.9 million) following his retirement last week.

By comparison, Activision Blizzard CEO Bobby Kotick made $8.33 million during the company's most recent financial year.

Hirai, a Sony veteran, was promoted to CEO last February. He joined Sony in 1984 as part of its music group. In 1995, he transferred to Sony Computer Entertainment America, where he was instrumental in launching both the PlayStation 2 and PlayStation 3, and he eventually became its president and CEO.

In a 2006 management shake-up, Hirai replaced Ken Kutaragi as president of Sony Computer Entertainment International, where he helped turn around the then-money-losing PlayStation business.

The PlayStation 4 launches this holiday for $399/€399/£349.

Discussion

129 comments
barrica
barrica

See Microsoft if u make a expensive console its only  latter that u collect the big checks, this article shows how a expensive console from lauch actually delays the catching of a company!

Apastron
Apastron

It's Ridge Racer.

Riiiiiiiiiidge Racer.

N4o7A
N4o7A

hahah, my eyes kept reading 1.6 billion

I was like wtf?!

King9999
King9999

"Get on my level, son." -Hiroshi Yamauchi

Sporks_Calamity
Sporks_Calamity

The reason why some are saying this is a "moderate" amount in terms of what most CEO get. Are far from the truth, as to the main reason as to why it's "moderate". The reason is, as some have pointed out. Sony are in dire straits financially. They have lost billions in the last ten years. Their hardware isn't top dog, and is facing some really stiff competition from the likes of Samsung. The reason why the CEO's took a pay cut / took no bonus payments is because, if they didn't then this puts more strain on the already fragile finances of Sony. They fought off having "junk credit" rating.    

JangoF-76
JangoF-76

Whoopy-fuckin-doo. Can someone tell me why we should care?

wyan_
wyan_

I expected it to be higher. Intredasting...

alchie11
alchie11

For a CEO, that's very low. Sports players (NHL predominantly) and some TV-show hosts (Leno) make much more.

Trickymaster
Trickymaster

Wow. That's peanuts compared to what CEOs in the US earn. Our system is the problem not theirs.

gufberg
gufberg

So his lowest income was 900k? Thats stil 4.5 times the amount of a VERY well paid high-end employee. 

CEO salaries are fucking staggering. I really dont see a justification for those 8-10 million salaries (and thats without bonuses) They're major leeches on the economic health of a cooperation and there are other employees who are arguably just as deserving of a raise. 

Also what would you even spend 900k on? Let alone 10 MILLION + a bonus? Its complete and utter nonsense. 

robertico7
robertico7

$599 US dollars...But!! we must take risks..

That line never gets old

cirugo
cirugo

maybe the Japanese could teach those of us in America about fair compensation for executives

hp2110
hp2110

that is not very much for a CEO. but then again sony has been a failing company the last few years.

cornbredx
cornbredx

That seems reasonable for a CEO. Kind of shocking. Why do so many other CEOs feel they need to be paid 30x that much?

soulfulDAGGER
soulfulDAGGER

From this article, I gather that Mr. Hirai isn't greedy and loves his job. Respect.

Mausingen
Mausingen

Most hollywood a listers flash their tits and/or have simulated sex on cam in some blockbuster film and get paid 10x this. 

Dumper1
Dumper1

I brought up some sick reading what Kotick made.

Takeno456
Takeno456

That is actually fairly reasonable. Japan has the fairest executive pay ratio in the world. Its almost sick the amount of pay most US corporate bosses get. Still the rich get richer but at least Kaz's pay is not completely over the top.

oflow
oflow

seems actually reasonable compared to what executives in the US make, especially considering he turned the company around into a profit.  Plenty of US execs make more than this on quarterly bonuses and run their companies into the ground.  I know my companies' regional VP made a $9 million dollar  quarterly bonus, not counting his salary.  Thats ONE quarter mind you. 

Europe and Japan do a lot better at compensating their employees  fairly unlike in the US where corps make outlandish profits and only compensate the executives that bounce from corp to corp no matter how good their performance is, while the average workers' compensation has stagnated for 30 years.

THATS why the recession is so slow to go away, corps are actually making record profits and sitting on record cash reserves but not paying their workers anything extra to stimulate the economy. Corps figured out they could use the recession to actually over work their current employees (labor production is also at an all time high) with fear of losing your job in a bad economy as incentive.

petez34
petez34

@JangoF-76 seriously. This is not journalism, it's just another useless article to occupy the gs website. Honestly, if someone really cared about ceo's salaries, they could find out. I try hard to filter the bs stories out and maybe 5 % are worth reading.

NeOmeGamer
NeOmeGamer

@alchie11Japanese are not greedy as fat fuckers in US of A ( *cough* kotick *cough* ) and they very often are willing to give up own profits if the company is loosing money.  Hard working and humble nation. Thats why I will ALWAYS support SONY instead Micro$oft.

http://www.psu.com/a019272/

Ciera
Ciera

@Trickymaster crooks everywhere you look. when a bailout is needed who has to pony up? you got it

arc_salvo
arc_salvo

@robertico7 

Yeah I know, there's a huge difference between "risk" and alienating your entire fanbase, when your previous product wast he lowest priced and lowest powered console that literally almost everyone bought.


hp2110
hp2110

because they are the heads of multi billion dollar companies

Rayzakk
Rayzakk

@keo8329 It's ridiculous for any CEO to make that much as it's the people at the bottom that are the actual arms of the company and they usually get screwed, but so many on here are praising them like these CEO's have really done something.  Instead sceam at their employees for not cutting enough cost so they can have another diamond encrusted goblet for their cocktails. 

blue_shift_91
blue_shift_91

@NeOmeGamer @alchie11 

that's some interesting stereotyping you got goin' on there. i remember a time when japanese products used to be considered garbage, but i guess people forgot all about that. hard working and humble? yes, but also no. if more people understood anything about japanese culture, they'd see things more sensibly. along with a diligent work ethic comes a need to avoid conflict, breeding inefficiencies due to conservative practices, and a need to hide those inefficiencies due to an obsession with image. culture is HARDLY a reason to choose what company you support. especially when you consider how many scandals that japanese company has also been involved in.

gufberg
gufberg

@the_big_doggg Settle down? I think you're the one being agitated here. 

I'm not particularly socialist but that said there is nothing capitalist about mega corporations raking millions of dollars to their CEOs. Thats monopolistic corporatocracy. 

I think you'd find that Adam Smith would be very appalled by how modern people interpret his 'Wealth of Nations' 


metroidhunterx
metroidhunterx

@hp2110 Heads that go on vacation on the Company's dime, get paid million dollar bonuses, and then when it comes time to reward their employees, explain that "there just isn't enough money" and they will be "hit with cutbacks".

the_big_doggg
the_big_doggg

@Rayzakk

It's called being successful, happens to people who work hard instead of complaining.

Mister_korea
Mister_korea

@gufberg @the_big_doggg I agree with the excessive paying of CEOs. Now this would be 100% acceptable if they didnt use loopholes so much to swindle taxpayers money. They are robbing the poor and stuffing the rich <--this i dont agree with it. Im all for high payouts IF they follow ethical business guidelines and are fair

hp2110
hp2110

@the_big_doggg @Rayzakk nobody who works at apple gets screwed. and @Rayzakk the people that do the real work in the world never get money because it's common work that anyone could do. the people that make real money are people with great ideas and good people skills and an amazing work ethic.