Next Chrysler CEO Won't Get More Than $500,000 a Year

After the United States government has severely criticized officials of both General Motors and Chrysler for the big salaries they got while working within the two companies, the next Chrysler CEO won't get more than $500,000 a year, according to a report by Detroit Free Press. And consider that he'll receive this salary while having many more tasks compared to his predecessor, including restructuring Chrysler and working with Fiat over the recently-formed strategic alliance.

The current Chrysler CEO Bob Nardelli will leave the company once the manufacturer exists Chapter 11.

“Now is an appropriate time to let others take the lead in the transformation of Chrysler with Fiat,” Nardelli said last week after announcing the agreement with Fiat. “I will work closely with all of our stakeholders to see that this new company swiftly emerges with a successful closing of the alliance.”

During the long series of negotiations with government officials, Nardelli told them he was paid $1 per year as chairman of Chrysler. But an interesting fact is that he initially earned $210 million when he left Home Depot, according to the aforementioned source.

But Nardelli considers he has done a good job at Chrysler as he directly supervised negotiations with Fiat over the strategic partnership.

“Even though total agreement was not possible, I am truly grateful for all that has been sacrificed, on the part of many of Chrysler’s stakeholders to reach an agreement in principle with Fiat,” said Nardelli. “My number one priority has been to preserve Chrysler and the thousands of people who depend on its success. While I am excited about the creation of the global alliance, I am personally disappointed that today Chrysler has filed for Chapter 11. This was not my first choice.“