The new governance environment has changed the dynamics between management and compensation committee members. An optimal partnership between these two parties can improve the business impact of a company’s executive compensation program. Such a partnership can also reassure both parties that the program’s objectives and implementation are as unassailable as possible in the eyes of the shareholders and the outside world. In this article, we outline five steps that create an optimum approach to management/committee collaboration. Read more
Board Related Governance & Board Compensation
Find coverage of the latest news and strategies in board related governance, including company risk assessments, clawback policies and other common pay governance policies. Also find the latest on board compensation, including discussions of director pay magnitude and payment mechanisms.
Establishing principles to address specific pay program amounts and components will help the Board to ensure that decisions regarding director pay are made thoughtfully, holistically, and accurately. Read the entire article (PDF) written by Blair Jones. Read more
Many of the issues related to executive pay today have emerged because of shortfalls with stock options during the 1990s. Companies’ responses to these issues are beginning to set some trends, including the use of alternative LTI vehicles, increased emphasis on ownership guidelines, and changes to option mechanics. Read more