Say on Pay

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Get comprehensive results in "Say on Pay Reports," in-depth analysis on Say on Pay results in our "Behind the Numbers" series, and insights on how companies are faring in "Vote of the Week."

Report update: two new companies with support below 50%

We have collected Say on Pay vote results for 38 additional Russell 3000 companies, bringing our total to 234. The average vote result for all companies in 2014 is 93%. Two additional companies failed since last week's report; three companies (1.3%) have failed so far this year. Of companies with four years of Say on Pay votes, 140 (90.9%) have passed all four years, 12 (7.8%) have passed in three years and failed in one year, one company (0.6%) has passed in two years and failed in two years, and one company (0.6%) has passed in one year and failed in three years. Proxy advisory firm ISS is recommending 'against' Say on Pay proposals at 9% of companies in 2014. Read more

Vote of the Week: Mylan

Our "Vote of the Week" features Mylan. Mylan received 60% vote support in 2014 after receiving 70% in 2013. The year-over-year decreased support is likely due to a large pay package to the Executive Chairman (who earns more than the CEO) as a result of $20MM cash award, and an extension of three executives' contracts which included an excise tax gross-up provision. Read more

2014 report: No new failures; ISS recommending against 9% of companies

We have collected Say on Pay vote results for 16 additional Russell 3000 companies, bringing our total to 196. The average vote result for all companies in 2014 is 94%. To date, only one company has failed Say on Pay: Hologic. Of companies with four years of Say on Pay votes, 114 (92%) have passed all four years while 10 (8%) have passed in three years and failed in one year. Proxy advisory firm ISS is recommending 'against' Say on Pay proposals at 9% of companies in 2014 (compared to 14% in 2013 and 2012). Read more

Vote of the Week: Starbucks

Our "Vote of the Week" features Starbucks. Starbucks received 87% vote support in 2014 after receiving 73% in 2013. The year-over-year increased support is likely due to no grants of any special time-based awards, mostly flat cash compensation levels year over year, continued strong financial performance, and active shareholder outreach. Read more

2014 report: No new failures; ISS recommending against 7% of companies

We have collected Say on Pay vote results for 8 additional Russell 3000 companies, bringing our total to 180. The average vote result for all companies in 2014 is 94%. To date, only one company has failed Say on Pay: Hologic. Of companies with four years of Say on Pay votes, 102 (93%) have passed all four years while 8 (7%) have passed in three years and failed in one year. Proxy advisory firm ISS is recommending 'against' Say on Pay proposals at 7% of companies in 2014 (compared to 14% in 2013 and 2012). Read more

Vote of the Week: Quiksilver

Our "Vote of the Week" features Quiksilver. Quiksilver, a company with triennial Say on Pay votes, received 84% vote support in 2014 after receiving 98% in 2011 at its last vote. The lower support this year is likely due to high absolute levels of CEO pay even though equity awards are tied to rigorous performance goals, single-trigger vesting acceleration for equity upon a change in control, and lack of risk-mitigating features such as clawback policy, ownership guidelines, or anti-hedging/anti-pledging policies. Read more

2014 report: No new failures; ISS recommending against 6% of companies

We have collected Say on Pay vote results for 7 additional Russell 3000 companies, bringing our total to 172. The average vote result for all companies in 2014 is 94%. To date, only one company has failed Say on Pay: Hologic. Of companies with four years of Say on Pay votes, 100 (93%) have passed all four years while 7 (7%) have passed in three years and failed in one year. Proxy advisory firm ISS is recommending 'against' Say on Pay proposals at 6% of companies in 2014 (compared to 14% in 2013 and 2012). Read more

Vote of the Week: Disney

Our "Vote of the Week" features The Walt Disney Company. Disney received 81% vote support in 2014 following votes of 58% and 57% in 2013 and 2012, respectively. The year over year increased support is likely due to removal of “retesting” provisions from Disney's performance share plan, reduced CEO bonus amidst slow total shareholder return (TSR) performance, and shareholder outreach following two years of low Say on Pay support. Read more