Polaris CEO Forgoes Salary through 2020’s End
Scott Wine, CEO of outdoor vehicle maker Polaris Inc., is forgoing his salary through the end of 2020, the company announced Tuesday.
The move comes as part of a broader effort to offset the financial impact of the coronavirus pandemic. The company also is furloughing an as-yet unspecified number of employees. Polaris didn’t immediately respond to a request for comment. The two-week furlough will take place in the company’s second quarter, which starts Wednesday.
Employees that aren’t furloughed will see a 20 percent pay cut, the company said in a press release issued Tuesday. All workers will remain on the company’s health insurance plan.
“The measures we are taking … are necessary responses to a dynamic environment that compels us to bolster our liquidity and rapidly adapt to extraordinary circumstances,” Wine said in the release. “While the immediate future is uncertain, what is crystal clear is that Polaris must act judiciously but decisively to win both during this situation and after it is resolved.”
In the company’s 2019 fiscal year, Wine took home a base salary of just over $1 million, along with more than $9 million in incentives and stock options, SEC filings show. That brought his total compensation to more than $10 million. It’s unclear if he’s only forgoing his base salary or his entire compensation package.
As the world economy slows amid the Covid-19 pandemic, many CEOs are forgoing their salary, including Delta Air Lines CEO Ed Bastian and Columbia Sportswear CEO Tim Boyle.
But because executive pay cuts typically aren’t enough to keep companies afloat, the measure is largely “symbolic,” some observers say.