Even as Salesforce joined the tech carnage, laying off thousands of workers and struggling to cut costs, it has been paying Oscar-winning actor Matthew McConaughey $10 million a year to serve as the company’s creative adviser, “brand partner” and TV pitchman.
This revelation comes in a new Wall Street Journal report, which said CEO Marc Benioff personally brought his movie star friend into the software company, which is San Francisco’s largest employer and known for its landmark skyscraper that towers above all others in the city’s skyline.
Before Salesforce laid off 8,000 workers in January, it gave McConaughey a cash and equity package so large it required approval from the firm’s compensation committee, the Wall Street Journal said. The Texan has since appeared in promotional videos for Salesforce’s #TeamEarth initiative. The company also paid $5 million to run a Super Bowl ad in 2022, which featured the “Interstellar” star in an astronaut suit, flying above San Francisco in a hot-air balloon and talking about making the world a better place.
.@salesforce & @McConaughey slot one ???? at #SuperBowl : We need to dig in together. Plant ????. Reconnect. Break boundaries. Right now. Right here. @AmericanForests is #TeamEarth.pic.twitter.com/clm0AGZDSB
— Jad Daley (@JadDaley) February 14, 2022
In September, Matthew McConaughey joined Benioff on stage at the annual Dreamforce convention, where the actor spoke about his activism and his political interests and even teased the possibility that he might run for president one day, SFGate reported.
Benioff recruited McConaughey to Salesforce when the $160 billion company was in expansion mode during the COVID-19 pandemic, the Wall Street Journal said. Salesforce added 30,000 employees from the start of 2020 until the end of last year. But with the tech industry’s retrenchment, the company told 8,000 employees they had to go.
“It’s an unfortunate part that you have to say goodbye to folks who, in many cases, are your friends and you have relationships with,” Benioff told the Wall Street Journal in an interview. “But, ultimately, the success of the business has to be paramount.”
It remains to be seen how McConaughey will figure into Benioff’s efforts to improve performance, efficiency and cost-cutting at Salesforce. Benioff and his executives face pressure by activist investors to increase profits, the Journal said.
McConaughey is just one of the celebrities Salesforce has brought in over the years to promote its brand with flashy marketing campaigns, which include the Super Bowl ad. Before the pandemic, the three-day Dreamforce conference could draw as many as 170,000 people with Salesforce customers and employees invited to hear speeches from former President Barack Obama, soccer star Megan Rapinoe, actor Emilia Clarke and wellness guru Deepak Chopra.
Benioff defended these marketing efforts and McConaughey’s role in the company to the Wall Street Journal. While he said he played no part in brokering the actor’s compensation deal, he said the overall marketing costs constitute “small change” when compared to its payroll for 70,000 people.
Benioff also defended the need for layoffs. “You can continue to keep a company going with excess employees, but it’s not healthy for the company. If you don’t have a performance culture, and you don’t operate the company with that kind of efficacy, you’re not doing anybody any favors.”
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