BeautyRival – The Estée Lauder Companies has unveiled the compensation details for its leadership team, spotlighting multimillion-dollar packages that combine salaries, bonuses, pensions, and stock options. The disclosure comes during a crucial period as the global beauty giant transitions under new leadership and a fresh strategy.
CEO Stéphane de La Faverie’s $9.6 Million Package
At the top of the list stands Stéphane de La Faverie, who became president and chief executive officer in January 2025. According to filings with the U.S. Securities and Exchange Commission, his total pay for fiscal 2025 amounts to $9.6 million. A large portion of this package includes stock options, which fluctuate in value depending on market performance and vesting schedules.
Since stepping into the role, de La Faverie has launched “Beauty Reimagined,” a new strategy designed to revitalize Estée Lauder’s portfolio, which includes Clinique, Tom Ford, and MAC Cosmetics. However, challenges remain. For the quarter ending June 30, the company reported a 12 percent drop in net sales, bringing revenue down to $3.4 billion.
Compensation for Other Executives
- Akhil Shrivastava, executive vice president and chief financial officer, earns $3.6 million. He took over the CFO role in July 2024, replacing longtime executive Tracey T. Travis.
- Tracey T. Travis, still listed in the filings, holds a 2025 package worth $7.5 million.
- Jane Hertzmark Hudis, executive vice president and chief brand officer, receives $6.8 million, slightly less than last year’s $7.2 million.
- Fabrizio Freda, former president and CEO, collected the largest sum with $17.8 million before his retirement in 2024. He had led the company since 2009, overseeing major global growth.
- Rashida La Lande, executive vice president and general counsel, reports compensation of $10.9 million.
- Peter Jueptner, former group president of international, concludes the list with $5.8 million.
Balancing Rewards with Market Pressures
These figures raise questions about balancing high executive pay with ongoing financial challenges. The beauty industry continues to face pressure from shifting consumer behavior, volatile currency markets, and rapidly changing retail channels. Estée Lauder’s leaders must now prove that their pay reflects the value they bring to the company’s turnaround.
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Looking Ahead with “Beauty Reimagined”
De La Faverie’s “Beauty Reimagined” strategy will serve as the real test. Investors, employees, and consumers alike will watch closely to see whether this new approach can stabilize sales and spark innovation. While the executive team receives strong financial rewards, the long-term success of Estée Lauder depends on execution, vision, and adaptability in an increasingly competitive beauty market.
In short, the spotlight remains firmly on whether these leaders can deliver results that match their multimillion-dollar compensation.
