Resource Library Insights

How can committees continue to improve their impact on talent planning without “stepping on the toes” of management—recognizing that the administrative responsibility for talent matters is a management activity?

While there is building momentum to adopt ESG related incentive metrics, it is important to consider the company’s specific business and talent requirements before doing so.

What (if any) role should ESG play in their companies’ compensation plans, and if used, how should ESG-related incentives be structured?

The study offers total compensation figures as well as details on base salaries and incentive-related elements of a typical compensation package.

Many business thinkers have criticized corporate “short-termism” that discourages crucial long-term investments in intangible capabilities. Executive pay programs get much of the blame, as even “long-term incentives” last only three years, with the goals for each year’s tranche reset annually.

Corporate boards of directors face a more acute set of challenges in setting their compensation than they have in recent years. Until recently, a primary focus was the risk of shareholder litigation challenging allegedly excessive director compensation. That concern has receded as many companies have taken steps to mitigate the risk of lawsuits.

While the Covid-19 crisis has caused a significant increase in board workload, the increased responsibilities relating to environmental, social and governance (ESG) matters will continue.

Brick-and-mortar retailers have faced a mounting set of challenges in recent years as they’ve sought to adapt to an increasingly omnichannel ecosystem. While the trend was slow-moving at first, the pandemic’s impacts on consumer behavior has been anything but—accelerating the growth of digital channels and driving changes from which there is no turning back.

The coronavirus pandemic has profoundly shaken the retail sector. Rapid changes in consumer behavior, supply chain disturbances, and government-mandated store closures contributed to a difficult 2020.

When and how should directors adjust executive incentive payouts?

Here is a framework for tracking the business impacts from Covid-19, and for laying a foundation for any pay adjustments.

The Business Roundtable's declaration should lead to new comp committee goals.

Join Corporate Board Member, Semler Brossy and Latham & Watkins for a discussion on the various market forces shaping compensation clawback policies.