Pay Governance has a new report on ESG metrics in incentive compensation. The full report is below. Highlights: In 2020, 22% of survey respondent companies indicated they included ESG metrics in their incentive compensation plans; for 2021, 29% of companies reported they have incorporated ESG metrics in their incentive plans while 21% of companies indicated…
Tag: compensation
Redesigning Corporations: Incentives Matter
In the 21st century, capital is so much easier to raise that we should no longer have to sacrifice other public goods or the collective common interest in order to facilitate fund-raising. Our corporate laws should reflect this fact, but do not. With the “free” tailwind of today’s easy capital-raising, corporations have become massive in…
Pay Ratio, Proxy Disclosure and Say on Pay Data from Shareholder Value Advisors
A webinar hosted by Stephen F. O’Byrne of Shareholder Value Advisors, revealed the meaningful and material link between compensation and shareholder value, the missing metric, and what the data show: Average employee pay can provide great insight on the alignment of employee pay with management pay and shareholder value but the required analysis goes far…
You Have to Look Hard to Find Where the CEO Pay is Hidden at Hasbro: Fortunately, Rosanna Weaver at As You Sow Did
Rosanna Weaver of As You Sow reports on the hidden excesses of CEO Brian Goldner’s pay package at Hasbro. We note the members of the Hasbro compensation committee: Edward M. Philip, Kenneth A. Bronfin, Sir Crispin Davis, Lisa Gersh, Linda K. Zecher. While the reported compensation of Chairman and CEO Brian Goldner does not look…
Surprise! Comp Consultants Think CEO Pay is Just Fine
CEO compensation consultants Ira Kay, John Ellerman, and Sarah Blivens make the best arguments they can to support the current system of CEO pay in their firm’s newsletter. We believe that CEO compensation is a major competitive advantage for U.S. companies due to our own and extensive academic research, our decades of consulting with thousands…
Half of companies are reviewing their pay policies after #MeToo and Time’s Up
We hope this review is accompanied by clear and effective incentives and consequences to ensure a safe work environment with equal opportunities for women and minorities. Forty-eight percent of companies say they’re reviewing their pay policies to ensure parity between men and women in light of the #MeToo phenomenon and Hollywood’s Time’s Up movement, according…
Netflix raises executive salaries, proving that ‘performance-based’ pay always was a sham – LA Times
One of our favorite reporters, Michael Hiltzik, writes a very important story about what the new tax bill reveals about the failures of CEO “incentive” pay. The big news Friday on the executive compensation front is that Netflix is converting some of its “performance-based” pay for its top executives to straight salaries, thanks to the…
Church of England: we’ll vote to block excessive boardroom pay deals | Business | The Guardian
The Church of England, a major institutional investor, has put UK company bosses on notice that exorbitant pay deals will not be tolerated.<P><P>The Church Investors Group, which unites the Church of England and 58 related charities and organisations managing a combined £17bn, has written to the 350 biggest companies on the stock market to set…
Teamsters demand McKesson CEO return millions of dollars for role in opioid crisis – The Washington Post
The Teamsters union called Tuesday for health-care giant McKesson to take back millions of dollars in incentive pay from chief executive John H. Hammergren, citing damage to the company’s reputation caused by its role in the opioid crisis. In a letter, Ken Hall, general secretary and treasurer of the International Brotherhood of Teamsters, urged the company’s…
SEC Unveils Executive Pay Ratio Guidelines – WSJ
The controversial “pay ratio” rule has finally been approved, requiring companies to disclose the ratio between the pay for the top executives and the median employee. Company executives have argued that this number is hard to calculate and misleading. Investor groups have responded that if the company knows how many employees it has and how…
