Tag: executive compensation

Efforts to reform executive compensation follow the law of unintended consequences

by Cydney Posner Remember how “say on pay” was supposed to put the lid on soaring executive pay? And just how has that turned out? According to a study conducted by ISS affiliates, (reported in Compliance Week ) the average compensation package for CEOs in the U.S. rose nearly 13 […]

Survey: institutional investors want return of 25-page proxy statements

by Cydney Posner Let’s reconsider: is it really necessary – or even useful – to have a proxy statement for an ordinary annual meeting that exceeds 100 pages in length?  Does responsibility for bloated proxy statements lie with legislators and regulators or must we practitioners (and may I include comp […]

Will the new revenue recognition standard wreak havoc on existing executive compensation arrangements?

by Cydney Posner Compliance Week reports on the “tectonic shift” anticipated to result from implementation of FASB’s new revenue recognition standard and the impact of that shift on executive pay. The new standard is scheduled to go into effect at the beginning of 2017; however, companies that include revenue goals […]

Are we aligning pay to the wrong performance metrics?

by Cydney Posner As discussed in this article in Compliance Week, this report, “The Alignment Gap Between Creating Value, Performance Measurement, and Long-Term Incentive Design,” by Organizational Capital Partners and the Investor Responsibility Research Center Institute, contends that most companies are using the wrong metrics to align executive pay with performance.  Rather […]