Ghosn to Step Down As Renault CEO Before End of Term
It appears as if Carlos Ghosn will step down as chief executive of Renault prior to the end of his term. While he’ll likely continue serving as chairman of Renault and CEO and chairman of the Renault-Nissan-Mitsubishi Alliance, he’s planning to lighten his load with the French automaker.
Despite having renewed his contract with Renault, which runs until 2022, the 64-year-old executive previously said he’s wearing too many hats. Ghosn stated at the time that he hoped to scale back his workload before retiring. Apparently, the next step in that process involves ditching his day-to-day duties as a chief executive.
“You can suspect before 2022 I will stop being CEO of Renault,” Ghosn told the Financial Times.
Last year, the executive also stepped away from his daily duties at Nissan. No longer preoccupied with turning the automaker around, his focus shifted toward building a lasting relationship within the automotive alliance. That remains his primary goal today, and it’s something he can accomplish without being CEO. He may be hoping to solidify the partnership as his final act before leaving his post.
Last September, the alliance unveiled a 2022 mid-term plan that aimed to increase annual synergies to more than 10 billion euros, up from 5 billion in 2016.
Some of Ghosn’s responsibilities have already been passed to Renault’s newly appointed chief operating officer, Thierry Bolloré. He’s also the most likely candidate to replace the CEO when the time comes.
Renault will hold its annual meeting on Friday and vote on Ghosn’s salary, among other things. The last such event resulted in a 20 percent pay reduction and mandatory help in his daily duties. While the brand saw noteworthy growth in 2017, some shareholders have stated his multiple roles means he’s making too much money already.
The French government, which holds a 15 percent stake in Renault with double voting rights, has also said it would propose the CEO’s proposed remuneration package. Whether or not this influenced Ghosn’s decision to abandon his post early is unknown.
[Image: Nissan]
A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.
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When the shareholders start grumping about your pay, it's time to consider doing something else. Even if that means doing nothing. And the shareholders are cutting his pay? Obviously, this is not an American company.
Let’s see. CEO that is moonlighting as ceo for 4 other companies traded for F&I guy as next ceo. So much sad