Inside CIO Paychecks

Bonuses, stock awards and executive perks boost pay for CIOs and senior IT leaders.

cio pay

Ever wonder what payday is like for CIOs at giant global companies? It’s not easy to find out, since public companies are only obligated to report compensation data for the CEO, CFO and three highest-paid executive officers. Network World scoured the proxy statements of the 500 largest U.S. companies to find instances where a CIO or senior IT executive ranks among a company’s top-tier executive officers. We found 25. Check out the details on their multi-million pay packages, which include six-figure salaries, cash bonuses, stock awards, and perks. (For more details on data collection, see the last slide)

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Laurie Douglas

Laurie Douglas leads IT at Publix, the largest employee-owned supermarket chain in the U.S. Her 2012 compensation totaled $717,196, which included her $582,510 salary, $75,103 bonus, and $59,583 in perks and other compensation. Her pay rose 3% compared to the prior year.

Michael Guggemos

Michael Guggemos, who joined tech provider Insight Enterprises as CIO in 2010, earned a pay package worth $812,445 last year. His compensation included his $338,250 salary, $90,757 bonus, stock awards valued at $375,001, and $8,437 in perks and other compensation. Compared to the prior year, the value of his 2012 compensation declined 14%.

Cal Sihilling

Cal Sihilling netted $845,028 as CIO of Nash Finch, a wholesale food distributor. Sihilling’s 2012 compensation included his $381,488 salary, stock awards valued at $365,569, $6,385 attributed to a change in pension value and nonqualified deferred compensation earnings, and $91,586 in perks and other compensation. His 2012 pay is down 7% from the year prior, when he earned $913,505. Before joining Nash Finch in 2006, Sihilling held CIO positions at AmeriCold Logistics and Richfood Holdings/SuperValu.

Lidia Fonseca

Lidia Fonseca, former LabCorp CIO, left the company in March of this year. In her last full year on the job, she earned a $1 million compensation package that included her $349,298 salary, $141,036 bonus, equity awards valued at $502,943, and $11,559 in perks and other compensation.

Darren Miller

Darren Miller served as vice president of IT and administration until Quanta sold its telecommunications subsidiaries in December 2012. His compensation for the year totaled $1.1 million, which included his $278,730 salary, $288,326 bonus, stock awards valued at $119,628, and $374,470 in perks and other compensation. The bulk of Miller’s “other compensation” is a lump sum payment of $330,531 related to his departure.

Cindy Nash leads IT at telecommunications company Windstream. Her $1.1 million pay package, which is down 5% from 2011, included her $371,154 salary, $236,250 bonus, stock awards valued at $483,854, and $26,949 in perks and other compensation. Nash served as CIO at VALOR Telecom before joining Windstream in 2006.

Richard Chapman

Richard Chapman’s $1.2 million pay package included his $403,046 salary, $371,849 bonus, stock awards valued at $412,127, and $9,249 in perks and other compensation. His total pay is down 31% from 2011, when he earned $1.7 million.

Don Imholz

CIO at healthcare service provider Centene, Don Imholz earned a $1.5 million pay package in 2012. His compensation included his $450,000 salary, stock awards valued at $1 million, and $47,584 in perks and other compensation. Compared to 2011, Imholz’s total pay fell 16%.

Elizabeth Hackenson

Elizabeth Hackenson leads shared services at AES, including the power company’s IT, strategic sourcing and insurance programs. Hackenson’s 2012 compensation package -- worth $1.6 million -- included her $407,453 salary, $559,392 bonus, equity awards valued at $553,274, and $31,647 in perks and other compensation. Before joining AES, Hackenson held a number of senior IT positions, including CIO roles at Alcatel-Lucent and MCI.

Donagh Herlihy

Donagh Herlihy leads Avon’s global IT strategy and operations -- including keeping 6 million+ Avon representatives connected. Herlihy, who has been Avon’s CIO since 2008, earned at $2.4 million pay package last year (up 10% from 2011). His compensation included his $580,767 salary, stock awards valued at $1.5 million, $72,677 attributed to a change in pension value and nonqualified deferred compensation earnings, and $55,151 in perks and other compensation. Before joining Avon, Herlihy was CIO at the Wrigley Company.

Lisa Bachmann

Big Lots’ Lisa Bachmann was promoted to EVP, chief operating officer, in August of last year. She continues to serve as Big Lots’ CIO, a role she took on in 2005. As COO, she added responsibility for store operations to her workload, which includes overseeing IT, merchandise planning and allocation, and distribution and transportation services. Bachmann’s 2012 compensation, which totaled $2.5 million, included her $593,942 salary, equity awards valued at $1.9 million, and $38,361 in perks and other compensation. Her total pay is up 6% compared to a year earlier, when she earned $2.4 million.

Juanell Hefner

Juanell Hefner oversees IT, customer service and the project and portfolio management office at Health Net, a managed healthcare services provider. In 2012, Hefner landed a $2.6 million pay package that consisted of her $494,848 salary, $200,000 bonus, stock awards valued at $1.8 million, and $137,131 in perks and other compensation. Hefner’s perks included $62,854 for relocation costs -- plus a $47,277 tax gross-up payment to reimburse her for the income tax liability associated with the relocation benefit. Hefner also received a $12,000 automobile allowance and $5,000 in financial counseling.

Ron Griffin

Hired in mid-2012, Ron Griffin leads IT at AutoZone. His 2012 compensation, valued at $2.7 million, included his $84,615 salary, $75,000 sign-on bonus, $66,813 performance-based bonus, option awards valued at $2.5 million, and $12,903 in perks and other compensation. Prior to joining the auto parts retailer, Griffin held CIO and senior IT positions at HP, Home Depot and Fleming Companies.

Stephen Gillett

Stephen Gillett didn’t last long at Best Buy. The former Starbucks CIO joined Best Buy on March 14, 2012, as president of Best Buy Digital and executive vice president of global business services. In the newly created position, Gillett was responsible for leading the company's e-commerce businesses, IT, and global shared services divisions. Gillett resigned nine months later. Best Buy clawed back a portion of the compensation paid to Gillett during his tenure, so instead of netting a pay package worth $11.5 million, Gillett forfeited the majority of his bonus and equity awards. His compensation, reduced to $3 million, included his $683,173 salary, stock awards valued at $1.7 million, and $578,066 in perks and other compensation.

Dave Barnes

The top tech leader at UPS, Dave Barnes joined the company in 1977 as a part-time package loader and steadily ascended the corporate ranks. He was named CIO in 2005. In 2012, Barnes earned a $3.1 million pay package that included his $436,866 salary, $140,909 bonus, equity awards valued at $1.6 million, $937,023 attributed to a change in pension value, and $15,732 in perks and other compensation. Barnes’ 2012 pay package is up 12% from the year prior, when he earned $2.8 million.

Lori Beer

Lori Beer netted a pay package worth $3.2 million last year for her role as executive vice president of specialty business and IT at healthcare provider WellPoint. Beer’s compensation (up 18% from 2011) included her $638,460 salary, $473,631 bonus, stock awards valued at $2 million, and perks and other compensation worth $79,851. Beer joined WellPoint in 1998 and held a number of executive titles, including CIO and CTO, before leaving the company in June.

David Thompson

David Thompson joined Western Union in April 2012 as CIO and took on responsibility for IT. Seven months later, he added global operations to his responsibilities. Thompson’s 2012 compensation package, worth $3.4 million, included his $344,700 salary, $233,299 in bonuses, equity awards valued at $2.8 million, and $64,700 in perks and other compensation. Before joining Western Union, Thompson held CIO roles at Symantec, Oracle and PeopleSoft.

Matt Carey

Matt Carey, who joined The Home Depot in 2008, oversees all aspects of the company’s IT infrastructure. He’s also responsible for IT strategy across the retailer’s 2,200 retail stores, online presence, and supply chain. Carey’s 2012 compensation, valued at $3.5 million, included his $666,192 salary, $773,731 bonus, equity awards valued at $2 million, and $41,388 in perks and other compensation. His pay rose 7% compared to the prior year.

Suren Gupta

Allstate’s Suren Gupta oversees technology strategy, network infrastructure, enterprise applications, and tech-related governance, security and compliance activities. He’s also responsible for the integration of shared service functions at the insurance company. In 2012, Gupta landed a $3.5 million pay package (up 22% from the prior year) that include his $537,404 salary, $400,000 signing bonus, $1.2 million performance-based bonus, equity awards valued at $1.3 million, $11,519 attributed to a change in pension value and nonqualified deferred compensation earnings, and $72,944 in perks and other compensation (as part of Gupta’s perks, Allstate reimbursed him $48,132 for an income tax bill related to his relocation expenses). Before joining Allstate in 2011, Gupta held CIO and senior IT positions at companies including Wells Fargo, GMAC, and Thomson Corp.

Anil Cheriyan

Anil Cheriyan joined SunTrust in April of last year and is responsible for the bank’s enterprise information services division, which provides overall technology, operations and information-related support. In 2012, Cheriyan received a $3.7 million pay package that included his $375,000 salary, $427,500 bonus, equity awards valued at $2.9 million, and $3,700 in perks and other compensation.

Meg McCarthy

In her role as executive vice president of operations and technology, Meg McCarthy oversees a wide range of activities at Aetna, including clinical innovation, technology and service operations. Responsibility for process improvement, procurement and real estate services also falls under her domain. McCarthy, who previously served as Aetna’s CIO, netted a $4 million pay package in 2012, a decline of 11% compared to her 2011 pay. Her 2012 compensation included her $611,556 salary, $413,079 bonus, stock awards valued at $2.8 million, $11,670 attributed to a change in pension value and nonqualified deferred compensation earnings, and $212,232 in perks and other compensation. The bulk of McCarthy’s perks -- $196,551 -- were for personal use of company aircraft.

Deb Butler

Deb Butler joined Norfolk Southern in 1978 in a customer service role, and today she heads the railway’s strategic planning and IT initiatives. Her 2012 pay package, worth $4.6 million, consisted of a $600,000 salary, $483,570 bonus, equity awards valued at $1.7 million, $1.8 million attributed to a change in pension value and nonqualified deferred compensation earnings, and $64,500 in perks and other compensation. The value of Butler’s pay is up 16% compared to 2011, when she earned $4 million.

Rob Carter

A 20-year FedEx veteran, Rob Carter is not only a tech leader but also a member of FedEx’s five-person executive committee, which plans and executes the company’s strategic business activities.  

Carter’s 2013 pay package, worth $4.8 million, included his $762,960 salary, $2 million bonus, equity awards valued at $1.3 million, $282,935 attributed to a change in pension value and nonqualified deferred compensation earnings, and $409,256 in perks and other compensation. Among the perks Carter received are personal use of company aircraft ($1,956), security services and equipment ($15,562), tax preparation services ($5,700), and financial counseling services ($7,500). His “other compensation” also included a $364,509 tax reimbursement payment. Carter’s 2013 compensation is down 18% compared to 2012, when he received $5.8 million.

Filippo Passerini

Filippo Passerini joined Procter & Gamble in 1981 as a systems analyst in Italy and rose through the techie ranks, gaining experience in marketing and operations along the way. Today he is CIO and leads the company’s global business services organization -- a dual role he’s tackled since 2011. Passerini’s $5 million pay package (up 20% from the year prior) included his $837,500 salary, $834,462 bonus, equity awards valued at $2.7 million, $528,000 attributed to a change in pension value and nonqualified deferred compensation earnings, and $66,932 in perks and other compensation.

John Hinshaw

John Hinshaw, who joined HP in late 2011, took on a newly creation position that spans tech and business. He oversees company operations including global IT, sales, procurement, business shared services, real estate, and security. Before joining HP, Hinshaw held a number of senior IT positions, including CIO at The Boeing Company and CIO at Verizon Wireless. His $8.2 million compensation included his $625,415 salary, $1.5 million signing bonus, $551,028 performance-based cash bonus, equity awards valued at $5.1 million, and $375,990 in perks and other compensation.

(Read the story version of this slideshow for more information.)

CIO pay disclosures

Disclaimer: This feature provides details on pay packages for 25 senior IT executives at Fortune 500 companies, but it's not a ranking of the highest paid CIOs and IT executives. A public company is only obligated to report the compensation of its principal executive officer (CEO), principal financial officer (CFO) and three most highly compensated officers. If a senior IT leader ranks among a company's three most highly paid executives, his or her compensation is reported in the organization's proxy statement. A CIO might have earned a multimillion-dollar pay package, but if more than three executives at the company topped that amount, that IT leader's pay is not disclosed. There are undoubtedly higher paid IT chiefs whose compensation is not publicly reported.