Shell's 2025 annual report reveals a significant increase in CEO Wael Sawan's total compensation, driven primarily by a substantial rise in his share award.

CEO Compensation Surge

Wael Sawan's total pay package reached approximately £13.8 million (US$18.1 million) in 2025, representing a nearly 60% increase from 2024. This surge is largely attributed to his annual share award more than doubling, from £3.9 million in 2024 to £9.1 million in 2025. The report cites two key reasons for this increase: the vesting of an award granted in 2023 on 4 March 2025, and share price appreciation, which accounted for £1.7 million of the award's value.

Planned Executive Salary Increases

Shell plans to raise the base salaries for its top executives in 2026. CEO Wael Sawan's salary is set to increase by 4% to £1.6 million, while Chief Financial Officer Sinead Gorman's salary will also rise by 4% to £1.06 million. These figures follow salary increases in 2025, where both executives received a 5.5% raise, bringing Sawan's salary to £1.54 million and Gorman's to £1.01 million.

Governance and Rationale

The reported salary increases for 2026 were effective from 1 January, but Shell's shareholders will have a vote on the proposed pay adjustments at the company's Annual General Meeting on 19 May. The report notes that bonuses and share awards for 2026 will be contingent on company performance. In recommending the salary increases, Shell's Remuneration Committee (REMCO) stated it carefully considered the external environment, specifically referencing average salary increases provided to Shell's workforce in key markets: 4.1% in the UK, 3.0% in the USA, and 3.0% in the Netherlands.