Compensation committee and director onboarding
With top executive talent (and their pay levels) increasingly in the spotlight, the role of a board's compensation committee has taken on high visibility. Why, then, do most boards still do so little to recruit, train and orient talents for their compensation committee? Here are best practices for onboarding compensation committee chairs, as well as other new directors.
Revised Corporate Governance Code: what you need to know
The article examines whether the 2018 Corporate Governance Code of Great Britain will be able to prevent corporate failures with the introduction of changes such as the provision to encourage greater engagement of the board and the nine-year rule for directors on the company board. Topics covered include flexibility offered by the Financial Reporting Council (FRC) for the enforcement of the Code, succession planning and development of a diverse board, and excessive executive pay. * For full article please contact the Library. *
Should compensation committees seek CEO input when deciding CEO pay?
The article focuses on the procedure followed by the compensation committee [remuneration committee in the UK] and board members of a company while deciding the compensation and salary package of the chief executive officer (CEO) of the company. The author opines on the need of taking CEO's view in deciding the package. It also discusses the need of transparency of the board members and chairman of the committee with the CEO after the decision is made.
Preparing for the 2018 US proxy and annual reporting season - are you ready?
Guidance for companies preparing for the 2018 US proxy and annual reporting season, which will be the first time that CEO pay ratio disclosure will be required.
129:1 Will ratios fix executive pay?
The article discusses corporate governance and the reporting of pay ratios between chief executives and average employees in Great Britain. Emphasis is given to topics such as proposed laws on reporting by the Department for Business, Energy and Industrial Strategy, executive compensation packages based on evaluation and performance, and shareholder voting on pay limits..
CEO monitoring and board effectiveness: Resolving the CEO compensation issue
A study examining the impact of board governance mechanisms on the pay of Chief Executive Officers (CEOs) using a sample of major French listed companies for the 2009-2011 period.
The benefits of board committees
Board members and management often share a disturbing sense of uncertainty as to the real benefits of board committees. Get the most of board committees by applying the bright ideas suggested by the author.
The case against long-term incentive plans
The article discusses research on the ineffectiveness of long-term incentive plans as part of the compensation of managers. Topics include the importance of intrinsic motivation in executive performance, the role of risk aversion in the psychology of executives, and the psychological discounting of future incentive pay compared to more immediate compensation.
Internal audit's role in investor relations
The article examines the relevance of internal auditing to investor relations. Topics discussed include building strong relations with institutional investors and reducing risks that attract activist investors -such as executive pay and budgets.
Following the adoption of the remuneration reporting regime Edward Craft reports on the struggle by large companies to get the 2016 annual report on remuneration approved by shareholders.