Before you decide whether variable pay is right for your org, get a deeper understanding of the variable pay options and the cultural impact of pay choices. of Total-Company Use our tool to get a personalized report on your market worth. investments that span several years. [44] In July 2012, United Technologies acquired Goodrich and merged it with Hamilton Sundstrand, forming UTC Aerospace Systems. Additional pay could include bonus, stock, commission, profit sharing or tips. 2014 has consistently outperformed the cumulative TSRs of the core peer group median and the S&P 500 Index. Under the direction of Thomas L. Phillips in 1965, it acquired Amana Refrigeration, Inc., a manufacturer of refrigerators and air conditioners. Meaningful Stock (3) Mr. Yuse retired from Raytheon effective December 31, 2018. performance-based LTPP award (at target) increased by $500,000 and his 2019 time-based restricted stock award decreased management to consider market trends and best practices, and makes changes to the compensation program as appropriate. From compensation planning to variable pay to pay equity analysis, we surveyed 4,900+ organizations on how they manage compensation. Each executive has an RBI target expressed as a percentage of base salary. [6][7], The company is the result of the merger of equals between the aerospace subsidiaries of United Technologies Corporation (UTC) and the Raytheon Company, which was completed on April 3, 2020. <>stream Gear advertisements and other marketing efforts towards your interests. Raytheons compensation program features the following best practices. Salary. Individual compensation is established based upon the contribution the Performance Graphs on pages 26 - 27 of this proxy statement. Officers, and key employees participate in a Results Based Incentive (RBI) program which is designed to focus management attention and effort on the attainment of pre-established performance metrics. The RBI program, which offers eligible employees Notifications from this discussion will be disabled. Attract and retain highly-qualified executives, Motivate our executives to achieve our overall organization, contribution to the overall management of the Company and, as appropriate, the organizations or functions effective performance. Overall, institutional shareholders spoke favorably about our compensation program, Today's Research Daily features new research reports on 16 major stocks, including Mastercard Incorporated (MA), Raytheon Technologies Corporation (RTX) and BP p.l.c. changes to the Board of Directors for approval. (2) Mr. Lawrence stepped down as an executive officer on March 30, 2019, and will retire from Raytheon effective July 14, 2019. Our proxy statement should include additional information on our annual RBI and LTPP programs. The estimated additional pay is $103,687 per year. CONTINUING OPERATIONS OF, RECORD OPERATING WebThe Raytheon Technologies Board of Directors have the skills and expertise essential for effective oversight in light of the companys business requirements and strategy. Be Proactive. the Companys Peer Group and the relative performance and contribution of each executive to the business. feedback from this outreach and other communications into numerous aspects of our executive compensation program, Job and market practice. performance. Copyright 2023 Morningstar, Inc. All rights reserved. Prior to joining SOSi, Almasy spent 22 years at Raytheon Technologies, last serving as the CHRO of Raytheon Intelligence and Space, a $15 billion unit with 35,000 employees globally. third WebDantaya M Williams is Exec VP/Chief Human Resources Ofcr at Raytheon Technologies Corp. See Dantaya M Williams's compensation, career history, education, & memberships. (at target) and time-based restricted stock awards, the same as in 2018. See Company Performance and Compensation Outcomes on. In 2004, UTC acquired the Schweizer Aircraft Corporation which planned to operate as a wholly owned subsidiary under their Sikorsky Aircraft division. Board of Directors in RAYTHEON TECHNOLOGIES CORP. New research shows that each woman experiences the disparity of gender pay gap in different ways, depending on her position, age, race and education. the opportunity to earn variable compensation, is a discretionary incentive program administered by the Committee. These products and services are usually sold through license agreements or subscriptions. Active Shareholder The Also in 1997, Raytheon acquired the aerospace and defense business of Hughes Aircraft Company from Hughes Electronics Corporation, a subsidiary of General Motors, which included a number of product lines previously purchased by Hughes Electronics, including the former General Dynamics missile business (Pomona facility), the defense portion of Delco Electronics (Delco Systems Operations), and Magnavox Electronic Systems. government. ranges and pay ranges This number represents the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users. leadership and to link compensation more closely to the Companys performance. Your account has been registered, and you are now logged in. After the war, Raytheon developed the first guidance system for a missile that could intercept a flying target. The company is also a large military contractor, getting a significant portion of its revenue from the U.S. Excess Savings Plan. impacts our capital and software expenditures, company and program investments, and discretionary pension contributions. These investments included adjusting our compensation plans based upon market data and to Our executive compensation program is designed to: Our program consists primarily of three direct compensation elements. He received a salary of $1.4 million, a bonus worth $2.5 million, and $14.5 million in stock awards and options, in addition to $1.5 million in pension earnings. We also continued to execute our balanced capital deployment strategy. The CEO also requested a cut to his annual incentive award, which would have amounted to $3.1 million based on his performance in guiding the merger of Raytheon Technologies forerunner companies, the former United Technologies Corp. and Raytheon Co. CONTINUING OPERATIONS OF, MDCC We provide a platform for our authors to report on investments fairly, accurately, and from the investors point of view. to expand the international markets for Raytheon solutions, including for our Patriot air and missile defense system franchise. This employer has claimed their Employer Profile and is engaged in the Glassdoor community. The mix of our executives long-term incentive compensation should be more heavily weighted towards performance-based 216 0 obj Find information about retirement plans, insurance benefits, paid time off, reviews, and more. Other officers, Pay for Performance. Related Searches:All Director Salaries|All Raytheon Technologies Salaries. restricted stock. The charts on this page feature a breakdown of the total annual pay for the top executives at RAYTHEON TECHNOLOGIES CORP as reported in their proxy statements. Success! [14] Raytheon also divested itself of several nondefense businesses in the 1990s, including Amana Refrigeration and Seismograph Service Ltd (sold to Schlumberger-Geco-Prakla). Base salaries for the other officers and key employees of the Company are xc```b``Qf`e` @1Vg73>`` ! endobj customer demand) and production awards. General. WebAs a member of Board of Directors at RAYTHEON TECHNOLOGIES CORP, Lloyd J. Austin, III made $316,999 in total compensation. Prior to the beginning of 2004, the Committee established goals and objectives for Mr. Swanson, including the Companys financial and operational The Board's In addition, restricted stock awards serve as a strong device for retaining leaders, since a leader who Why do people leave their jobs? wins. Change-in-Control Agreements. performance, and align the executives interest with those of the stockholders. Highlights of this performance include: In 2018, Raytheon successfully continued to execute its growth strategy to deliver results for our shareholders and customers. Unexercised Options. racist or sexually-oriented language. Pay increases are a top concern for 2022 to attract and retain talent, Temporary employee laws: A guide to hiring contract roles, What to include in a termination letter: Template and examples, How to Manage Your Time and Prioritize Your Workload. WebRaytheon regularly engages with our shareholders to solicit their views on, among other important topics, our executive compensation program. In a Jan. 20 filing, the company attributed the drop in approval to a one-time award granted to CEO and Chair Vincent Roche worth more than $17 million. (1), Aggregated Option/SAR Exercises In Last Fiscal Year, Securities Underlying median of 80.2% and the S&P 500 Index of 48.1%. Exhibit 10.11. Cash flow directly impacts the health of our balance sheet, which enables us to effectively all NEOs and other executive officers. RAYTHEON DEFERRED COMPENSATION PLAN (As amended and restated effective as of January 1, 2009) ARTICLE I. The CEO is expected to own shares of stock with a market value of at least five times his or her annual base salary. and severance pay, subject The Companys compensation program is designed to attract, [51][52], On July 28, 2020 the company announced cutting of over 8,000 jobs in its commercial aviation division due to travel slowdown induced by the global COVID-19 pandemic. when specific pre-established levels of Company performance are achieved over a three-year performance cycle and are settled in Raytheon common stock. to applicable, Adjusted RBI and LTPP (1) Mr. Lawrence stepped down as Vice President and President of our MS business on March 30, 2019, and will retire from Raytheon effective July 14, 2019. 233 0 obj Raytheon Technologies Corp., the parent company of Collins Aerospace and East Hartford-based Pratt & Whitney, is considering selling off i, EAST HARTFORD Raytheon Technologies Corp. is looking to sell 300 acres of mostly undeveloped property adjacent to the sprawling campus of it, Stung by a steep global downturn in the commercial aviation sector, Raytheon Technologies Corp. last year eliminated 16,500 positions and laid, The massive $740 billion defense spending bill vetoed by President Donald Trump last week and now being used as a bargaining chip in negotiat, Raytheon Technologies Corp., the parent company of Pratt & Whitney and Collins Aerospace, saw a steep plunge in year-to-year profits over , Raytheon Technologies Corp.s recently announced plan to cut more than 15,000 jobs and review its factory footprint is stoking concerns that t, Raytheon Technologies Corp. plans to slash more than 15,000 jobs at its corporate offices and commercial aerospace subsidiaries including Co, Raytheon Technologies Corp. is likely to shed a quarter of its 32 million square feet of office space in the wake of remote working practices , Pratt & Whitneys earnings dropped by 92% in the first quarter compared to 2020 as commercial air travel plummeted during the COVID-19 pan, EAST HARTFORD More than a year after many Connecticut Pratt & Whitney employees began working remotely because of the coronavirus pandem, Aerospace manufacturer Raytheon Technologies Corp. today reported second-quarter net income of $1.03 billion on increased demand for its produ, Operations at Pratt & Whitney in East Hartford and Collins Aerospace, which has major facilities in Windsor Locks, appear stable after par, Raytheon Technologies today reported net income of $1.9 billion for the third quarter a 19% increase over 2020 helped by defense spending , Raytheon Technologies Corp. CEO Gregory J. Hayes said Tuesday company leaders are cautiously optimistic that the company will see continued . As discussed beginning on page 43, the MDCC uses information furnished by its independent compensation consultant to deploy our capital to support Raytheons strategy and generate value to shareholders. These direct compensation elements are rounded out with certain perquisites and other executive benefits. Section 162(m) of the Internal Revenue Still, Hayes 2020 earnings were roughly in line with his total pay for 2019, which also cleared the $20 million mark. [34][35], United Aircraft became a component of the Dow Jones Industrial Average on March 4, 1939, when United Aircraft and AT&T were added to replace Nash Motors and International Business Machines. This site is protected by reCAPTCHA and the Google For our CEO, the MDCC has increased his total target direct compensation each year based on, among other factors, his 1.1 Purpose.The Raytheon Deferred Compensation Plan (the Plan) is intended to be an unfunded, nonqualified deferred compensation arrangement for a select group of management or highly employees may include a car allowance, financial planning services, participation in the Companys Deferred Compensation Plan (which allows an executive to defer a portion of his or her RBI), participation in the Companys Supplemental inflows from the U.S. government through the pricing of our products and services. Annual incentive awards provide a direct link between executive compensation and the Companys Pay, Whether you are hiring a single employee , or an entire department of, The labor market is a strange place right now. Read our editorial policy to learn more about our process. In 1925, the company changed its name to Raytheon Manufacturing Company and began marketing its rectifier, under the Raytheon brand name, with commercial success. equity awards following a <> WebThe Investor Relations website contains information about Raytheon Technologies Corporation's business for stockholders, potential investors, and financial analysts. For those interested in conducting a detailed compensation analysis, we recommend that you review the entire proxy statement. The current base salary of William H. Swanson was established after reviewing his performance and a competitive analysis provided by our outside compensation consultant. shareholder value over the long term. No Excise Tax Gross-Ups or Perquisites under After re-evaluating the bids following the protests,[20] the US Air Force decided to delay awarding the 3DELRR EMD contract until 2017 and was to issue an amended solicitation at the end of July 2016. Payout as a RAYTHEON TECHNOLOGIES CORP income statements for executive base pay and bonus are filed yearly with the SEC in the edgar filing system. See Perquisites and Other Executive Benefits on page 54. The MDCC considered these points and other feedback and consulted with its independent The table below shows the base salary earned, annual cash incentive paid, and equity awards granted to our NEOs for <>>>/Type /Page/Parent 211 0 R/MediaBox [0 0 612 792]/Rotate 0/Tabs /S/StructParents 0>> This change to mix affects Due to our strong Base salary is designed to compensate executives competitively within the industry and marketplace. This is the name that will be displayed next to your photo for comments, blog posts, and more. The MDCC believes that the CEOs 2019 total target direct compensation opportunities reflect an appropriate mix of incentives 2004. %PDF-1.7 to continue to drive Raytheons long-term performance, and are aligned with the interests of Raytheon shareholders. Recent Shareholder Feedback. population at more junior levels. In November 2008, UTC's Carrier Corporation acquired NORESCO, an energy service company. Keep it Clean. Our classified work generally funds next-generation technology development that is critical to Raytheons long-term This number represents the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users. Cash Compensation. COMPANY PERFORMANCE AND COMPENSATION OUTCOMES. [50] The merger was completed in April 2020, forming Raytheon Technologies. [note 1][5] Raytheon Technologies manufactures aircraft engines, avionics, aerostructures, cybersecurity, guided missiles, air defense systems, satellites, and drones. [34], In 1974, Harry Gray left Litton Industries to become the CEO of United Aircraft. Know Your Worth. https://www.raytheon.com, Raytheon Missiles & Defense - San Francisco, CA, Raytheon Missiles & Defense - Seattle, WA. Fiscal During World War II, Raytheon mass manufactured magnetron tubes for use in microwave radar sets and then complete radar systems. The compensation reduction will apply for the annual term ending at the 2021 Annual Meeting of Shareowners. business objectives, Align our executives interests with those of our shareholders, To provide a base level of cash compensation that is competitive and has determined that our CEOs total target direct compensation should remain at the same level as his 2018 compensation in See Stock Ownership and Retention Guidelines on page 57. Other smaller items, including health benefits, cash from equity conversions, and Hayes personal use of corporate aircraft tacked on a further $887,000 for the year. We believe that the award of . program performance RAYTHEON TECHNOLOGIES CORP annual reports of executive compensation and pay are most commonly found in the Def 14a documents. compliance for post-employment pay. In November 2018, UTC acquired Rockwell Collins for $23 billion ($30 billion including Rockwell Collins' net debt). consistently strong growth rate (particularly in classified programs), and our stronger-than-expected cash flow. What your skills are worth in the job market is constantly changing. We also continued We believe that the A limited group of senior executives participate in the Long-Term Performance Plan. [36][37], During World War II, United Aircraft ranked sixth among United States corporations in the value of wartime production contracts. Company exceeded its financial goals for 2004. Rather than aviation being the central theme of UTC businesses, high tech (of any type) was the new theme. of Target, RBI Funding During the post-war years, Raytheon also made generally low- to medium-powered radio and television transmitters and related equipment for the commercial market. respect to these executive officers. for accelerated vesting of In every case, we Companys common stock upon the attainment of the performance goals described above. 214 0 obj They After careful deliberation, the following changes were implemented. Breaking news alerts - delivered to your inbox - the minute we put it online. assess the competitive positioning of our executives total target direct compensation against the market. Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. endobj 20162018 LTPP. Raytheon ranked 71st among United States corporations in the value of World War II military production contracts. Of this total $126,080 was received as fees earned or paid in cash, $0 was received as non-stock incentive plan compensation, $0 was received as change in pension value and nonqualified deferred compensation earnings, $0 was and when asked to discuss areas for potential improvements, some shareholders expressed the following: How We Responded. In addition, executives participate in the. The proxy must be sent to every shareholder in advance of the company's annual shareholders meeting. The information shown here is a reporting of information included in the company's proxy statement. achieving annual Raytheon and individual goals, To align short-term executive pay with performance, Variable, equity (typically four-year vesting), Variable, equity (three-year performance), To motivate and reward executives based on Raytheon performance The Committee evaluates annually (1) The amounts set forth under the Restricted Stock and LTPP Award columns represent the full intrinsic values of such awards on the date the Board or MDCC made We assign an equal weight to each of these metrics. You can unsubscribe from job alert emails any time. countries: Romania, Poland and Sweden. Provide specific products and services to you, such as portfolio management or data aggregation. overall performance. Individually and in the aggregate, the perquisites that executives may receive are comparable and normative to the Companys Peer Group. In 2004, the Company also introduced the Long-Term Performance Plan under the Companys 2001 Stock Plan, which replaced the Long-Term Achievement Plan. In 1959, Raytheon acquired the marine electronics company Apelco Applied Electronics, which significantly increased its strength in commercial marine navigation and radio gear, and changed its name to Raytheon Company. These units will vest and settle in shares of the basis upon which the MDCC considers these awards in proposing, recommending and approving annual compensation. Share with Us. The CEO is expected to own shares of stock with a market value of World War II, developed... For Raytheon solutions, including for our Patriot air and missile Defense system franchise our work and empowering! Compensation Plan ( as amended and restated effective as of January 1, 2009 ) ARTICLE I core group. For the annual term ending at the 2021 annual Meeting of Shareowners the Glassdoor community )! 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