A day after a “irritating” earnings report, Ford CEO Jim Farley informed staff in a letter that he’s chopping the share used to calculate bonuses for senior leaders together with himself.

The letter, co-signed by CFO John Lawler and obtained by Automotive Information, defined that for 2022, the corporate’s salaried work drive is scheduled to earn 148 % of their bonus targets, largely on account of robust working money circulation and enhancements associated to service warranties. High executives’ bonuses are being minimize to 90 %, he mentioned.

“This determination was not made calmly, however accountability begins on the high,” Farley mentioned within the notice. “Our senior leaders have a major affect on driving the enterprise outcomes and should stay as much as the excessive requirements we have to create a vibrant, profitably rising Ford.”

He mentioned he would offer further particulars in regards to the annual incentive compensation plan for 2023 later this month.

Ford mentioned Thursday that it misplaced $2 billion in 2022. Its full-year adjusted earnings of $10.4 billion had been greater than $1 billion decrease than what it forecast as not too long ago as October. Farley blamed poor execution and higher-than-expected prices.

“The fact is we nonetheless have loads of work to enhance execution and strengthen our enterprise, as demonstrated by our earnings outcomes,” Farley mentioned within the Friday letter. “We’re dedicated to fostering a tradition of excellence, and taking accountability when our general efficiency does not meet expectations — our personal and people of our stakeholders.”