DAX board members on record course: this is how much the top managers earn

Despite economic challenges, the salaries of DAX board members climbed to a new record level in 2023. Top earners in particular benefit from new remuneration models.

Remuneration at an all-time high - even in difficult times

The management boards of Dax, MDax and SDax companies recorded a remarkable salary increase in 2023. According to a recent EY study, average remuneration including bonuses rose by eleven percent to 2.65 million euros - a record figure. The increase was even more pronounced for CEOs: Their salaries increased by an average of 16 percent to 3.7 million euros.

Gender differences in salaries: A melting lead

Despite stagnating salaries for female board members, women remain better paid on average than their male colleagues - albeit with a decreasing gap. While male board members without a CEO position recorded an increase of nine percent to 2.26 million euros, women's salaries remained almost unchanged at 2.42 million euros. The gap thus shrank to around 160,000 euros, half of the previous year's level.

In the DAX, however, the trend reversed: Male board members earned more than their female colleagues in 2023 for the first time since 2015. While men's salaries increased by around 260,000 euros, women's fell by 150,000 euros. This resulted in an average difference of around 290,000 euros in favor of men.

Diverse reasons for salary development

At first glance, the significant increase in management board salaries seems surprising given the stagnating sales and profits of many companies. However, EY partner Jens Massmann points out that the economic situation varied greatly across all sectors. While some companies had to contend with headwinds, others - such as banks and insurers - achieved record profits.

In addition, sustainability targets are playing an increasingly important role in Executive Board remuneration. Many companies are linking salaries to these targets in order to ensure both internal and international competitiveness in the battle for top talent.

Highest earners from the automotive industry

Despite the crisis in the automotive industry, VW CEO Oliver Blume topped the salary rankings. With earnings of 10.3 million euros, as reported by the investor protection association DSW, he left even CEOs from more stable sectors behind. On average, DAX CEOs achieved a salary of 5.7 million euros in 2023.

Conclusion: Attractive remuneration despite challenges

Rising salaries show that the demands placed on managers remain high. The focus on sustainability targets and securing competitive advantages in the international talent market underpin the attractiveness of top positions in German listed companies. Nevertheless, a look at profit development remains crucial in order to critically evaluate remuneration trends.

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