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ISS’s review of CEO perks disclosed by Russell 3000 (R3000) companies in proxy statements for annual shareholder meetings between January 1, 2020, and June 1, 2023, identified the following implications and trends:

• About 68% of S&P 500 companies (on par with the last few years) provide their CEO with at least one perk compared to 35% of the balance of the R3000 (down 5% from 2020).
• Personal use of corporate aircraft has remained steady or increased among the S&P 500 and the balance of the R3000 each year since 2020, with more than 40% of the S&P 500 and nearly 8% of the R3000 disclosing this perk. The value associated with personal use of corporate aircraft perks has also increased over the past several years with a median of nearly $132,000 among the S&P 500 and $95,000 among the balance of the R3000.
• CEO home security perks have become more prevalent since 2020, disclosed by nearly 16% of S&P 500 companies and 2% of the balance of the R3000 as of 2023. By sector, the Financials and Information Technology sectors saw the largest increases over that period. As of 2023, median values for CEO home security were higher for the R3000 excluding the S&P 500 than those for the S&P 500, at $47,000 and $40,700, respectively.
• On average, there is an 11% decline in the level of shareholder support for management say-on-pay proposals among R3000 companies when ISS highlights perks as a concern in its proxy research reports; however, the report notes that the impact of “outsized” perks (which are just one component of the overall pay program) on shareholder support appears to be less significant when compensation program designs are otherwise deemed appropriate.