Toppan Merrill's "Market Pulse: Executive Compensation" provides companies with noteworthy benchmarking data on executive compensation pressures from investors, proxy advisors, and otherwise based on the firm's interviews with 25 corporate counsel, corporate secretaries and IR heads.
Key takeaways include:
- The level of pressure on the company and the board regarding executive comp has increased significantly for 36%, and increased somewhat for 48%, of respondents.
- Proxy advisors are by far the greatest source of pressure on companies as respects executive comp, as shown here:
- The most common criticism companies receive from shareholders/observers regarding their executive comp program is that there should be more emphasis on performance pay. Shareholders have expressed the most concern with annual bonuses and benefits.
- 48% of respondents say they subscribe to peer group practices in their say-on-pay disclosure.
- 64% of respondents reported that past executive comp disclosure enhancements have improved their proxy vote results somewhat or significantly.
Access additional information & resources on our Executive Pay, Proxy Advisors, and Annual Meeting/Proxy Statement pages. This post first appeared in the weekly Society Alert!