Volkswagen’s core brand was able to achieve a much improved result in 2021 despite considerable problems due to the chip crisis. Although car sales fell due to a lack of chips, the Wolfsburg-based company was able to increase its profit from ongoing business more than fivefold to around €2.5 billion.
Volkswagen’s significantly improved business results last year also saw CEO Herbert Diess’s salary rise again. If the current state of future pension expenses is included, the remuneration of the top manager for 2021 amounted to more than 10.3 million euros. Without pension rights, Diess still accounted for nearly 8.6 million euros, as VW noted in Tuesday’s annual report.
In the first year of Corona 2020, the lower profit at that time had also reduced the CEO’s income somewhat; Not taking pension claims into account, this had fallen by a good €900,000 to around €6.1 million. This was mainly due to a lower variable component, which includes, among other things, the evolution of the business situation in the current reference year.
Pension rights increase by 100,000 euros
Components of VW’s board member salary also include a bonus based on the previous three years, as well as the fixed base salary plus fringe benefits. Values between two individual years are often only limitedly comparable because payment for certain components can be spread over multiple stages and deductions. The one-year variable bonus made up the bulk of Diess’s salary for 2021. In 2020, his pension entitlements amounted to almost €1.6 million, meaning they increased by a good €100,000.