New WeWork co-chief executives in line for $17m golden parachute payouts

We continue to be grateful that WeWork is not publicly held. And we continue to think that it is long past time for SoftBank’s investors to express some very significant concerns. WeWork’s new bosses will be handed a $17m (£13m) golden parachute if they are ever kicked out of the troubled office letting company, documents show….

Performance Metrics: Accelerating the Stakeholder Model

When the Business Roundtable announced their “new” commitment to “stakeholders,” we said it was not meaningful unless we saw incentive compensation aligned to specific stakeholder goals. At the Harvard Law School Forum on Corporate Governance and Financial Regulation, Equilar research analyst Connor Doyle looks at current incentive plans tied to goals other than the traditional…

Proposed Legislation: Tax excessive CEO pay

The Tax Excessive CEO Pay Act, introduced by Senator Bernie Sanders and Representatives Barbara Lee and Rashida Tlaib, would raise the corporate tax rate for any companies that pay their executive 50 times more than their typical workers. The bill begins with a 0.5 percent tax. The worst offending companies that pay their CEO more…

CEO PAY: TRICK OR TREAT? – MSCI

Our previous research shows that CEO pay plans may have been misaligned with long-term shareholder returns. The Council of Institutional Investors now is focusing on this topic. Over the past several proxy seasons, institutional investor sentiment on executive pay has become more negative, particularly among select large European asset owners and some of the most…

Why CEOs are paid so much – CNN

Most big public companies are now required to provide shareholders with a vote on CEO compensation under the SEC’s Say-on-Pay rule. The vote results are not binding, so don’t require the board to take action. But they do let boards know how shareholders feel about the issue. The rule has only been in effect for…

WeWork Employee Options Underwater as Ex-CEO Reaps – WSJ

VEA Vice Chair Nell Minow is quoted in the Wall Street Journal about the mind-boggling $1.7 billion departure package for Adam Neumann at We Work, which includes $187 million in consulting fees and a $500 million line of credit. “There used to be crazy departure packages in the past, and shareholders really objected,” said Nell…