PARIS -- Under pressure from the French government, Renault said it had cut the bonus of CEO Carlos Ghosn by 20 percent to an amount equal to 120 percent of his annual salary.
However, the automaker said Ghosn's bonus could reach a maximum amount equal to 180 percent of his salary in the event Renault outperformed financially.
Modifications were necessary "to make the remuneration structure simpler, more transparent and clearer," Renault said in a statement on Wednesday.
The French government had urged Renault to rein in Ghosn's pay after the company's board overruled a vote by shareholders against his 7.2 million euro ($7.92 million) payout in 2015.
The government is the biggest shareholder in Renault, holding more than 18 percent of voting rights in the company. Economy Minister Emmanuel Macron in May blasted Renault's "dysfunctional governance."
Ghosn told the board he would give 1 million euros ($1.10 million) from his bonus to Renault's foundation, which helps young people facing academic and employment difficulties and supports education in areas suffering from natural disasters and crisis situations.
