Category: Financial Reform

Why CEOs Aren’t Overpaid

While CEO pay has been a hot topic for many years, it has come back into the spotlight after the House of Representatives recently voted to repeal the Dodd-Frank legislation. Critics are complaining that transparency is necessary to lower CEO pay, but we are sharing this Fortune article that shows the majority of CEOs really… Read more »

Dangling the Carrot: How Banks Can Approach Incentive Compensation

Carefully drafted incentive compensation plans can improve executive loyalty. It’s a good idea to make sure your executives are protected, and there are a lot of variables to consider in putting together incentive compensation plans. This article discusses options like cash or equity, appropriate triggers, and other “do’s and don’ts” to consider with drafting this type… Read more »

Only 7 Say-on-Pay Failures So Far

The Say-on-Pay failure rate is the lowest it’s been since voting began in 2011. According to this Semler Brossy chart, the failure rate is at 0.6%, and only seven Russell 3000 companies have failed thus far in 2017.

5 Governance Experts Share Perspective On Boards

We found and wanted to share this recent Forbes article rehashing an interesting discussion from five leading governance experts on the topic of effective governance strategies. While concluding that best practices are not “one size fits all”, the article highlights some key factors for boards to evaluate when determining how best to develop an effective… Read more »

Media Bias in CEO Pay

On March 13, 2017, Fortune.com published an article comparing compensation of Marissa Mayer, Yahoo’s CEO, and her replacement, Thomas J. McInerney. This article, titled “Yahoo’s new Male CEO Will Make Double Marissa Mayer’s Salary,” reports limited information and draws erroneous conclusions to support their discussion of the gender wage gap. Our article provides a comparison… Read more »

ConocoPhillips Investors Reject Executive Pay Plan

Say On Pay (SOP) is back in the news—and this time in a BIG WAY! Three big energy companies—Exxon, Conoco and BP—just had shareholders reject their pay packages. At L&A this was a surprise since all 3 companies have excellent boards; excellent leadership and what we would have assumed, great shareholder outreach. This article by… Read more »

The Evolution of Corporate Governance (Podcast)

We want to share this podcast interview with our readers. Ann Yerger, a fellow expert in our industry, shares about the evolution of corporate governance that she has seen over her 30-year career. Listen to the audio interview here.

A Surprising Definition of Board Independence

Board independence is an increasing focal point for investors, proxy advisors and corporate issuers, especially now as companies go through their annual shareholder meetings. With that in mind, we thought this article from the Financial Times relevant for our community as it highlights a recent study on director independence and its impact on governance.

Brent Longnecker Speaking at Gulf Coast Symposium This Thursday!

The Top 10 Compensation Issues Facing You Thursday, May 11 | 8:45 AM – 9:45 AM (repeats 10:00 AM session) NRG Center (Houston, TX) – Room 604 Speaker: Brent Longnecker The HR function has been changing over the years. More businesses are realigning the role of HR so they can best manage and grow their… Read more »

Here’s What You Need to Know About President Trump Proposed Massive Tax Cut

President Trump has made tax reform one of his main priorities, and he is proposing a massive tax cut. This article details what changes are being proposed. In response to this article, our Chairman & CEO, Brent Longnecker, stated,  “This is important to know – especially the AMT that effects ISOs and the Corporate rate…. Read more »