Medical Design and Outsourcing

Solventum paid CEO Bryan Hanson $40M in spinoff’s first year

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A photo of Solventum CEO Bryan Hanson.

Solventum CEO Bryan Hanson [Photo courtesy of Solventum]

Solventum disclosed $74 million in total compensation to its five top-paid executives in the 3M spinoff’s first executive pay disclosure as a standalone company.

That includes $40 million for CEO Bryan Hanson, who led Solventum as it became an independent publicly traded company on April 1, 2024. Hanson was previously CEO of Zimmer Biomet before 3M hired him to be CEO of 3M Health Care in September 2023.

3M Health Care was the world’s 17th-largest medical device company in our 2024 Medtech Big 100 ranking by revenue based on the unit’s 2023 sales of $8.2 billion. Solventum reported $8.3 billion in revenue for 2024 and launched a transformation initiative to restructure the company — including the elimination of 800 jobs — for innovation and faster growth.

Hanson’s pay package makes him one of the highest-paid CEOs in medtech for 2024, compared to $25.7 for Cardinal Health CEO Jason Hollar, $24.3 million for J&J Chair and CEO Joaquin Duato, $22.7 million for Abbott Chair and CEO Robert Ford, $20 million in for Medtronic CEO and Chair Geoff Martha (in fiscal 2024, which ended last April) and $18.2 million for Intuitive Surgical CEO Gary Guthart.

Recruiting and retaining top talent — both at the executive and engineering level — is crucial in the medtech industry, but employee compensation is kept secret in most cases. Medical Design & Outsourcing tracks and analyzes these pay figures when disclosed by major device developers and manufacturers.

Solventum executive pay

Solventum paid CEO Bryan Hanson $40 million in fiscal 2024 (ended Dec. 31, 2024). Hanson’s total compensation included a $1.35 million salary, a $29.6 million stock award, $2.2 million under the Solventum Annual Incentive Plan (AIP).

Hanson also received $6.5 million for the second installment of a make-whole cash award granted to him by 3M when he became CEO of 3M Health Care on Sept 1, 202. That cash award vested on Sept. 1, 2024.

Hanson’s pay package included another $288,931 for other compensation, including $151,900 worth of personal use of corporate aircraft (he’s allowed up to 65 hours per year), $109,382 for VIP Excess Plan retirement contributions (which the company says is “limited to employees whose compensation exceeds a limit established by federal income tax laws for tax-qualified defined contribution plans”), $27,600 in 401(k) contributions and $49 for non-cash awards under Solventum’s Everyday Wins employee recognition program.

Hanson received $23.9 million in total compensation from 3M in 2023, including a $2.7 million hiring bonus, the $6.5 million first installment of his make-whole cash award and $13.5 million in stock awards. 3M paid Chair and CEO Mike Roman $16.4 million that same year; he was replaced by Bill Brown as CEO the following May.

3M investors voted against the company’s 2023 executive pay practices in an advisory “say-on-pay” vote at last year’s annual meeting. The company has not yet disclosed its latest pay packages.

Executive pay came under scrutiny when Hanson was CEO of Zimmer Biomet, which disclosed $15 million in total compensation to him in 2021, $16.4 million in 2022 and $12.8 million in 2023. He resigned from Zimmer Biomet to join 3M in August 2023. Zimmer Biomet made changes to its executive compensation policies after nearly losing its advisory say-on-pay vote.

Solventum’s second-highest-paid executive in 2024 was CFO Wayde McMillan at $10.3 million, including a $753,421 salary, $8.8 million in stock awards, a $747,243 AIP bonus and $57,328 in other compensation. Solventum also disclosed a $1.8 million hiring bonus for McMillan, who joined the company in November 2023.

Solventum’s third-highest-paid executive in 2024 was EVP and Medical Surgical Group President Chris Barry at $9.8 million, including a $812,500 salary, $8 million in stock awards, a $898,348 AIP bonus and $52,588 in other compensation.

Solventum’s fourth-highest-paid executive in 2024 was Chief Information and Digital Officer Amy Landucci at $9.1 million, including a $664,625 salary, a $701,250 hiring bonus from 3M, $6.8 million in stock awards, a $659,175 AIP bonus and $294,154 in other compensation, the majority of which was $247,403 for relocation benefits.

Solventum’s fifth-highest-paid executive in 2024 was Chief Human Resource Officer Tammy Gomez at $5 million, including a $572,308 salary, $3.8 million in stock awards, a $504,547 AIP bonus and $42,238 in other compensation. Solventum also disclosed a hiring bonus of nearly $2.9 million hiring bonus for Gomez, who joined the company in December 2023.

The U.S. Securities and Exchange Commission requires publicly traded companies to calculate the gap between CEO compensation and pay for its median employee. But because Solventum is a new company, it didn’t have to disclose that figure in this year’s filing.

Solventum shareholders will vote on the company’s executive pay practices at the annual meeting on April 30.

“Our executive compensation program is designed to incentivize and reward executives for actions that create durable long-term value for shareholders,” the company said in the filing.

More medtech compensation analysis for CEOs, top-paid executives and median workers

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