Edison Executives Lose $2 Million in Bonuses Over Eaton Fire as Company Posts $4.5 Billion Profit

Six senior executives at Southern California Edison and its parent company, Edison International, will lose an estimated $2 million in bonuses as a result of the Eaton Fire, the New York Times reported Wednesday — the same day the company reported earning $4.5 billion in net income for 2025.

The bonus reductions amount to a 40 percent cut for the six executives, according to Bloomberg. The reductions come 13 months after the fire killed 19 people and destroyed more than 9,400 buildings in Altadena. Edison has reportedly acknowledged that its equipment most likely started the blaze, though state officials have not yet formally determined the cause.

It is only the second time Edison’s compensation committee has reduced executive pay because of a wildfire, the company told the Times. Some executives lost their entire bonus after the 2018 Woolsey fire in Los Angeles and Ventura counties.

About half the reductions will come from the pay of Pedro J. Pizarro, president and CEO of Edison International, according to the Times. In an interview with the newspaper, Pizarro said he supported the decision.

“It’s kind of a reflection of what the community’s been through,” Pizarro told the Times. “It’s just a tragedy.”

Edison International disclosed the bonus reductions on the same day it released its full-year 2025 financial results. The company reported net income of $4,459 million, or $11.58 per share, compared to $1,284 million, or $3.33 per share, in 2024, according to the company’s earnings release. Core earnings, which exclude one-time items, were $2,520 million, or $6.55 per share, for 2025.

The announcement also coincided with enhancements to Edison’s Wildfire Recovery Compensation Program for Eaton Fire victims.

The company said it would increase attorney fee compensation to 20 percent of net damages for claimants represented by counsel, up from 10 percent, and would now offer displaced renters housing assistance based on current market-rate rent rather than their pre-fire rental rates, according to a company news release.

As of February 18, the program had received 2,405 claims on behalf of nearly 7,000 individuals, according to the company. Edison said 593 offers had been extended to more than 1,700 individuals, totaling more than $183 million. Eighty-six payments have been made or are in process, totaling $18 million, the company said in the release.

Victims have filed hundreds of lawsuits against the power company. Some residents and their lawyers have criticized the compensation program as insufficient..

The 8,500-member Eaton Fire Survivors Network has characterized the program’s offers as “pennies on the dollar” for damages caused by the fire. The group has called on Edison to pay displaced households $200,000 in rent relief without requiring them to forgo litigation — a request the utility has declined.

Edison has said it does not bear sole responsibility for the devastation. On January 16, the company filed cross-complaints in Los Angeles Superior Court against Los Angeles County, Pasadena Water and Power, five other water agencies and Southern California Gas Company, alleging those entities contributed to the fire’s severity.

SoCalGas said in a news release that it intends to vigorously defend against what it called Edison’s attempts to deflect responsibility.

The first set of Eaton Fire lawsuits against Edison is scheduled to go to trial in January 2027. The compensation program accepts claims through November 30, 2026.