April 10 (Reuters) - U.S. oil major Chevron's ( CVX )

CEO Michael Wirth was paid $26.5 million in 2023, a 12.2% boost

from the prior year and above the median pay raise for

employees, a securities filing showed on Wednesday.

The numbers show an increased gap between compensation

for executives and Chevron's ( CVX ) 45,511 workers.

The median annual compensation for Chevron ( CVX ) employees in

the U.S. and abroad last year rose 8.7% to $175,673. In 2022,

the medium compensation for workers had dropped 12% to $161,488,

while Wirth's pay had increased 4%.

Chevron's ( CVX ) proposed

$53 billion acquisition

of oil producer Hess counted positively to Wirth's

compensation, with the board saying it strengths the company's

portfolio.

The deal is pending regulatory approval and being

questioned by

rival Exxon Mobil ( XOM )

in an arbitration procedure. Chevron's ( CVX ) proxy

statement did not provide further comments on the proposed

acquisition.

Chevron ( CVX ) said Wirth delivered Chevron's ( CVX ) key financial

priorities, which largely focus on increasing shareholder

returns and paying debt.

Chevron ( CVX ) distributed a record $26.3 billion to

shareholders in dividends and buybacks in 2023, up 18% from the

prior year.

Mark Nelson, the second-highest paid executive, was

promoted to vice chair last year and got a 61.5% increase to

$12.2 million last year.

The figures do not represent the actual realizable

compensation as it includes equity-based awards - the value of

which is not known until options are exercised or stock is sold.

Chevron ( CVX ) last year underperformed its peers with its

shares dropping 15% to $149.

The CEO's non-equity incentive plan compensation dropped

42% to $2.6 million, with Wirth being punished for cost and

schedule slippage on Chevron's ( CVX ) major project in Kazakhstan and

capital expenditures overruns in the U.S. Permian Basin.