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Ford CEO Farley's 2025 pay rose on quality, software results

Breana Noble, The Detroit News on

Published in Business News

DETROIT — Ford Motor Co. reported the value of CEO Jim Farley's 2025 compensation package as $27.5 million — up 11% from 2024's $24.9 million.

The total package that Farley, 63, earned in 2025 included an unchanged base salary of $1.7 million and lower stock awards. The package value's increase was attributable to a higher bonus from meeting company objectives, primarily around quality and software revenues per vehicle, according to an annual proxy statement filed Friday with the U.S. Securities and Exchange Commission. The Dearborn automaker's adjusted operating profit of $6.8 billion, however, was lower than expected because of tariffs and an aluminum shortage stemming from fires at supplier Novelis Inc.

Farley's bonuses increased 2.5 times to almost $5.746 million after the automaker met performance targets, resulting in a 130% company-wide performance factor, which also is attributed as Farley's individual performance factor, according to the report. The CEO previously told employees the achievement would be reflected in white-collar bonuses.

Quality goals included metrics related to the vehicle when it is sold as well as after three months of ownership. Costs related to recalls and warranties have weighed on the automaker's balance sheets, but executives have emphasized the biggest burden is from older vehicles and that new vehicles coming off the line now are some of the company's best-quality products. Ford's executive compensation seeks to incentivize the work being done that year.

The automaker reported the value of Farley's stock awards had decreased at $18.9 million, though a fraction of that has vested so far. The total value could differ based on Ford's stock value when those awards vest after a certain amount of time or, for most, the performance metric is met.

In 2025, the company recorded a net loss of $8.2 billion because of one-time special charges related to redeploying assets for its electric vehicle business. It also distributed profit-sharing bonuse s of approximately $6,780 to 56,300 eligible autoworkers and another 1,490 employees who retired last year.

Farley's total compensation amounted to 295 times the median annual total compensation of all Ford employees last year: $93,397. That was up from 253 times in 2024, when the median employee compensation was $98,273.

Farley's package also included almost $1.2 million in other compensation such as use of private aircraft and company vehicles, which was up year-over-year.

Executive Chair Bill Ford's total compensation was $20.3 million in 2025, down from $20.4 million in 2024. The package included an unchanged $1.7 million salary. His stock awards were lower at $14.7 million. Bonuses were up 2.5 times to more than $1.69 million.

 

The total compensation for Vice Chair John Lawler, who was chief financial officer until Feb. 5 in 2025, was about $11.8 million in 2024, up 26%. His salary was up to $1.3 million. The $7.6 million in stock awards as reported were up. Bonuses were up to $2.2 million.

Chief Financial Officer Sherry House's compensation was $8.4 million, which included a $920,250 base salary, $5.8 million in stock awards and a $1.4 million bonus.

Ford Pro President Alicia Boler Davis, who joined the company in October, had a package valued at almost $19 million. Her base salary was more than $309,000. She received a $3.25 million signing bonus, $14.7 million in stock awards and a $650,000 performance bonus.

Doug Field is Ford's chief EV, digital and design officer. His compensation of $15.3 million was down 1.7%. His base salary rose to almost $550,000. The value of his stock awards was reported lower at $13.9 million. Bonuses totaled almost almost $540,000, a decrease.

Stellantis CEO Antonio Filosa received a compensation package of about $6.3 million last year after taking over as the top boss of the automaker in June. Stellantis' former CEO, Carlos Tavares, was paid about $14 million by the company in 2025 after leaving the automaker in December 2024.

General Motors Co. hasn't released its executive compensation numbers for 2023. Its proxy statement usually is filed in April. In 2024, GM CEO Mary Barra r eceived a $29.5 million package.

Ford will host its annual meeting on May 14.


©2026 www.detroitnews.com. Visit at detroitnews.com. Distributed by Tribune Content Agency, LLC.

 

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