Crony capitalism or mass hysteria?

Journalists and politicians must not have enough to do in the post-Christmas dip. “Action looms to curb executive pay” proclaims the FT on January 5 the day before the UK’s Prime Minister David Cameron devotes precious prime time on Radio 4′s flagship breakfast talk show …… continue reading >>

“Remunerationgate” – the median isn’t the message

Whether it’s a case of “In war, truth is the first casualty” or “Lies, damned lies, and statistics”, sound arguments for reform can easily be undone by the careless use of dodgy data to fit a chosen position.

The debate around reform of executive remuneration …… continue reading >>

Discretion Allowed? Should the chairman have a say on say-on-pay?

What to do when shareholders elect not to vote on a resolution? Recent legal developments in Australia have raised interesting questions about the common practice of the chairman voting undirected proxies for say-on-pay resolutions.

In the majority of markets with developed shareholder voting procedures, for each proposal, the shareholder has three choices; …… continue reading >>

US union turns up heat on say on pay

AFSCME, the larges union for public service workers has turned the heat up under mutual funds with the publication of its fifth annual analysis of voting on compensation-related resolutions.

Tipping the Balance? Large Mutual Funds’ Influence upon Executive Compensation,”  takes a look at 26 of the largest US mutual fund families’ …… continue reading >>

Monsanto Shareholders Send Message on Pay

S&P 500 constituent Monsanto Company yesterday became one of the first US companies to hold its AGM following the introduction of the new US rules requiring an advisory vote on the remuneration of the directors and an advisory vote on the frequency of such a vote. Shareholders did not follow the management …… continue reading >>

Law on ‘unfair remuneration’ one step closer in Switzerland

The Swiss Council of States (the upper house of the Swiss Federal Assembly) has discussed an amendment to Swiss company law in an attempt to encourage Thomas Minder to withdraw his proposed referendum to insert provisions on directors pay into the Swiss Constitution. The Council of States has argued that regulations on …… continue reading >>

SEC consults on “say on pay” regulations

The SEC is seeking investor input on its proposals to give shareholders a non-binding vote on executive compensation and some “golden parachute” severance arrangements.

Under the proposed rules, publicly traded companies would have to provide shareholders with an advisory vote on executive pay and seek input from shareholders as to how frequently the say on pay vote will …… continue reading >>

Irish Corporate Governance Code consultation opened

A consultation paper has been published by the Irish Stock Exchange in which it proposes the introduction of an Irish Corporate Governance Code, a draft copy of which has been published. The proposed Code supplements the existing Combined Code (being renamed the UK Corporate Governance Code) with some …… continue reading >>

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