United Parcel Service Inc. (UPS) Chief Executive Scott Davis was paid $5.6 million in total compensation last year, more than double his $2.64 million in 2007 total compensation when he was chief financial officer, according to the company's proxy statement.

Davis assumed the top UPS post, and also became chairman, last year. UPS attributed his big pay increase largely to the promotion, which took effect on Jan. 1 last year.

His base annual salary climbed 60%, to $960,000 from $600,000.

Last month, UPS announced that it has frozen management salaries, as well as suspended 401(k) matching contributions, in an effort to cut costs. UPS, the top package-delivery company, and other freight carriers have been dealing with sliding demand amid the weak economy.

UPS noted in the proxy statement it filed Friday with the Securities and Exchange Commission that it is seeking shareholder approval for a "clawback" provision covering equity awards in its 2009 incentive compensation plan.

If approved during the company's May 7 annual meeting, UPS will be able to seek repayment if financial results used to determine 2009 awards "are materially restated and an executive engaged in fraud or intentional misconduct," the company said.

UPS also pointed out that former CEO Mike Eskew earned $6.03 million in total compensation in 2007.

-By Bob Sechler; Dow Jones Newswires; 512-394-0285; bob.sechler@dowjones.com