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…
Tag: 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…
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…
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…
Bosses pay smackdown: A fifth of FTSE companies named and shamed but where is Persimmon? | The Independent
It’s billed as a world first: Today the Investment Association has named and shamed 143 UK listed companies that endured shareholder rebellions of at least 20 per cent in the last year. That amounts to more than a fifth of the constituents of the FTSE All Share Index finding themselves corporate naughty step, including some very big names. Corporate aristocracy such…
Pearson tops list of shareholder revolts on remuneration
The biggest shareholder revolt of the year in the UK over boardroom pay was at Pearson, the education group, where almost two-thirds rejected the company’s remuneration report.According to a new public register of shareholder voting, hosted by The Investment Association, Pearson saw more shareholder votes against its pay report this year, at 65.59%, than any…
Toshiba Listing Tests Ability of Tokyo Stock Exchange to Protect Investors
The Nikkei Asian Review writes that the recent decision to allow Toshiba to continue to be listed on the Tokyo Stock Exchange — by a single vote — raises questions about its ability to protect investors. The TSE’s philosophy on how to handle corporate wrongdoing has changed considerably over the past 15 years. When Seibu…
