DynCorp Denied $6 Million CEO Payment Under Contract Cost Rules

If only shareholders had the same right to disallow excessive payments to CEOs. DynCorp International LLC failed to show entitlement to reimbursement of $6 million in severance paid to a former CEO because the payments weren’t reasonable under government contract cost rules, the Armed Services Board of Contract Appeals said in a decision released Tuesday….

Mark Carney says banks should link executive pay to Paris climate goals

Former Bank of England governor Mark Carney has said banks should link executive pay to climate risk management, as part of efforts to align the finance industry with Paris climate goals. \\…He said banks must “have some interim objectives and targets that are disclosed. Ideally a governance process that’s clear in terms of … specific…

Pharma Execs Boost Prices to Boost Pay

The House Oversight Committee released two major reports Wednesday that expose the internal strategies used by drug makers Celgene and Teva to repeatedly jack up the price of their blockbuster drugs revlimid and copaxone. The reports, which are the culmination of an 18-month investigation based on internal company documents, outline in vivid detail how both…

Darden Restaurants — As You Sow

At As You Sow, Roseanna Weaver points out that the Darden board found a way to give the CEO a bonus even though COVID-19 has meant decreased revenues for the restaurant businesses. The Compensation Committee “approved modifications to the performance goals for fiscal 2020 annual incentives” because of the impacts of the COVID-19 pandemic. Lowering…

Investors Want ESG Targets in CEO Pay

From Veritas The investor landscape around ESG (Environmental, Social, and Corporate Governance) metrics in executive compensation programs is quickly evolving as institutions are pressured to set stricter, and more public, policies covering this formerly niche area, rating agencies are increasingly reporting on the use of ESG executive compensation metrics, and there are a growing number…

Some Miners Undercount Deaths, Boosting Executive Bonuses – WSJ

company executive said South32 intends to disclose future deaths that occur in environments where the company doesn’t have direct control in its annual sustainability report, though it still won’t classify them as an occupational fatality, which would affect bonuses. In its annual report, for the financial year ending June 2019, South32 said an absence of…

Calpers Takes Aim at CEO Pay and Questions Shareholder Behavior – Bloomberg

Many chief executive officers at U.S. companies are paid too much — and investors aren’t holding corporate boards accountable, a senior official at the country’s largest public pension fund said. The too-generous compensation happens despite talk that executive pay is linked to performance, said Simiso Nzima, head of corporate governance at the $389-billion California Public…