CalPERS Is Voting Against Directors Over Compensation – Will Others Follow?
The message seems clear: find a way to better align executive pay with performance or have your re-election to the board opposed at the annual meeting.
The message seems clear: find a way to better align executive pay with performance or have your re-election to the board opposed at the annual meeting.
An argument might be made that whether a management team delivers superior performance is secondary; what really matters is that rewards befit performance. There is merit in this argument—to a point.
Covid-19’s impact on businesses varies by industry—and so should efforts to adjust compensation programs.
The short answer is yes, but it isn’t obvious from the numbers. A look at how to interpret the latest findings on LTI performance awards.
As the reasoning behind what CEOs earn becomes more public, greater pressure is going to fall on compensation committee members.
Corporate boards may want to re-evaluate their current compensation models to make sure that they don’t unfairly enrich executives who are responsible for long-term shareholder value.