Norfolk Southern CEO more than doubled his pay last year after getting promoted
By Chris Isidore, CNN
Norfolk Southern CEO Alan Shaw got $9.8 million in total compensation in 2022, more than double the $4.7 million he received in 2021. Shaw was promoted to the top job in May.
Shaw has been the face of the railroad since a derailment of one of its trains in East Palestine, Ohio, on February 3. The derailment caused a toxic spill and fire,
The CEO got only slightly more in his eight months in the top job than his predecessor, James Squires, got in the first four months of 2022 when he was still CEO. Squires’ compensation for the year came to $9.6 million.
Squires received $14 million in 2021, while Shaw received $4.4 million that year, during which he served as chief marketing officer for the first 11 months of the year before his promotion to president of the railroad on December 1. The plan to promote him to CEO in May of 2022 was also announced at that time. The pay figures were disclosed in an annual filing by the company Friday morning.
The combined pay for the two executives is equal to 70% of the $27.8 million that Norfolk Southern has committed so far to compensate the communities and its residents affected by the derailment.
The derailment has been the focus of two congressional hearings and has sparked legislation aimed at improving rail safety. Thursday the US Justice Department sued Norfolk Southern for violations of the Clean Water Act caused by the derailment.
Shaw has personally contributed $445,000 to set up a scholarship endowment fund for seniors at East Palestine High School. He made the contribution after selling $448,000 worth of the company’s stock.
™ & © 2023 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.