Agenda – Boards Sharpen Tools to Circumvent ‘Ugly’ Clawback Process

In an attempt to sharpen the tools available to boards in the wake of a scandal, companies are amending otherwise standard clawback provisions or looking beyond clawbacks altogether. Indeed, following the MeToo movement, policies were expanded to include for-cause termination, misconduct and, in rare cases, sexual misconduct, as Agenda has reported. That trend has continued,…

Clawbacks Are Hard, So Companies Try Postponing Pay Instead – WSJ

We suppose this is a step in the right direction, though we’d rather see restrictions on selling vested stock until three years after leaving the company. Companies are withholding more of their top officers’ pay for longer, hoping to avoid the hassle of recouping money when—or if—executives are later found responsible for misconduct. The changes…

100 Most Overpaid CEOs 2021–Register for the As You Sow Webinar

This webinar will be discussing the release of the 2021 edition of “The 100 Most Overpaid CEOs. ” The seventh annual “100 Most Overpaid CEOs: Are Fund Managers Asleep at the Wheel?” report will be released on February 25, 2021. Since 2015 As You Sow has analyzed the CEO pay packages of all S&P 500…

Agenda – Wells Fargo Board Uses Pandemic as Excuse to Boost Pay

Why why why why should the pandemic be a reason to waive performance goals? Performance goals are supposed to be based on performance standards as set ahead of time. The reason for failing to meet them should not matter. Wells Fargo board of directors: Steven D. Black , Co-CEO, Bregal Investments, Inc. Mark A. Chancy , Retired…

Warren Slams $5.2 Million Bonus After Nursing-Home Covid Deaths

Sen. Elizabeth Warren (D-Mass.) is fuming over the “inexplicable and unseemly decision” to pay a $5.2 million “retention bonus” to a nursing home industry CEO after more than 2,800 residents died from Covid-19 in the company’s facilities. In a letter to Genesis HealthCare Inc. released Thursday, Warren said the company approved “exorbitant” bonuses to former…

Should You Reward Your CEO with Stock Options?

When Boeing CEO Dennis Muilenburg was ousted from the company for his mismanagement of the 737 Max crisis, he left with stock options worth at least a net $18.5 million. At the same time, Boeing’s shareholders took a beating, with the stock losing 25% of its value. Muilenburg, in other words, left with a big…

San Francisco voters approve taxes on CEOs, big businesses

In an effort to address economic disparity laid bare by the coronavirus pandemic, San Francisco voters overwhelmingly approved several tax measures targeting property owners and big businesses with CEOs paid far higher than their average workers. Under the new law, any company whose top executive earns 100 times more than their average worker will pay…