More on the new UK governance code: While the majority of business groups, accountancy firms and think tanks welcomed the reforms, some said they were not the “shake-up of corporate Britain” the government has previously promised.Roger Barker, head of corporate governance at the Institute of Directors, welcomed the Code, particularly its “engagement with a wider…
Category: international corporate governance
‘Chairman’ retired from UK boardroom code – Financial News
The term ‘chairman’ has been dropped from the UK Corporate Governance Code for the first time in 26 years and replaced with ‘chair’ in a landmark move for equality in the workplace.The watershed change appears in the 2018 edition of the influential guidelines, published today, and is part of a conscious decision to retire the…
Foreign investors see value in Japan Inc’s good governance – Nikkei Asian Review
As Japanese companies work to improve corporate governance, they are attracting more foreign investors looking to cash in on the changed business climate.Statistics released by the Tokyo Stock Exchange and other Japanese bourses show that the ratio of foreign ownership in the country’s stocks remained almost unchanged in the fiscal year through March 2018 from a…
UK’s biggest firms will have to justify pay gap between bosses and their workers – GOV.UK
For the first time ever, listed companies will legally be required to annually publish and justify pay difference between chief executives and their staff the directors of all large companies will also have to set out how they are acting in the interests of employees and shareholders reporting is part of the government’s modern Industrial…
Carillion bosses drove construction firm off a cliff, say MPs – BBC News
The UK firm Carillon has collapsed, declaring bankruptcy as its share price is just above zero. The “integrated support services business” held about 450 governmental contracts, from school meals to maintenance, construction, and traffic control. Last year, it issued three profit warnings in five months and wrote off more than £1 billion. In a damning…
Jes Staley, Thomas Middelhoff, and what Europe gets right about CEO accountability.
The FT today published a fascinating interview with Thomas Middelhoff, the former CEO of Bertelsmann, the German media giant. Middelhoff became a star during the dot-com boom—his $50 million investment in AOL became a $7 billion exit five years later—and then his star fell. Middelhoff ended up sentenced to three years in prison after being found…
Steinhoff may be claiming back executive bonuses worth R176 million from these three individuals — South Africa
The three former executive directors of Steinhoff may have to pay back up to R176 million, if the company holds to its threats.The Steinhoff Group is “giving consideration to reclaiming bonuses paid in the past to certain senior executives” it said in an update to shareholders on Thursday afternoon.That could be rather a large amount…
Asset managers accused of grandstanding on Persimmon pay | Portfolio Adviser
Asset managers who slammed Persimmon pay packages this AGM season have been silent when questioned over their voting record at the UK housebuilder, which enabled executive remuneration to soar.<P><P>At this year’s AGM, held in April, 48.5% of shareholder votes were cast against the pay report, which sees chief executive Jeff Fairburn receive a whopping £75m.<P><P>But…
Asia’s boardrooms require critical mass of women – Breakingviews
Although one fifth of firms in Hong Kong’s Hang Seng Index still have all-male boards, new appointments of women directors are rising. The next task, in the city and elsewhere in the region, is to ensure women are present in sufficient numbers for companies to reap the full rewards of diversity.Females accounted for almost 19…
Vlerick research: Overpaid CEOs may worsen corporate performance — Quartz
As we have been saying for more than 20 years…. [O]verpaying executives can also be a sign of weaker corporate governance, [Xavier] Baeten said. Overall, companies whose chief executives are paid relatively less tend to have a higher return on assets, according to a study by Vlerick [Business School]. The research looked at companies in…
