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 is in grave danger if the UK government continues to […]
Read MoreWhat 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; to vote for, […]
Read MoreAFSCME, 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’ voting patterns. This year’s report […]
Read MoreS&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 recommendation on the […]
Read MoreThe 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 the remuneration of […]
Read MoreThe 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 take place. Draft […]
Read MoreA 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 of the key recommendations of the report […]
Read MoreAs shareholders grapple with how to vote on an increasing number of management say on pay (MSOP) proposals at US companies – and companies face increasing pressure to adopt the practice – various players in the industry are providing suggestions on how best to handle from both perspectives. In 2008, only six companies voluntarily subjected […]
Read MoreReaction to the new remuneration disclosure requirements set out by the Comissão de Valores Mobiliários (Securities and Exchange Commission of Brazil, or “CVM”), have been mixed, ranging from full and immediate compliance to complete revolt – with some companies filing lawsuits challenging the legality of the new provisions. CVM, the regulatory body for the Brazilian […]
Read MoreThe US is moving forward with a series of comprehensive financial reforms in a new bill, “The Wall Street Reform and Consumer Protection Act of 2009”. In 1,279 pages, the new bill pulls together a total of six reform proposals which had been introduced individually over the course of recent months. Subject to final amendments, the bill […]
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