The government has announced plans to introduce a new register of those publicly listed companies where at least 20 per cent of investors are unhappy with the amount its executives are paid.
Proposed measures will be published this week, aimed at improving corporate governance of UK companies and boardroom behaviour, with the register being amongst these, acting as a step towards improving transparency around high executive pay.
Following the government’s Corporate Governance Reform green paper, which sought views on executive pay, employee and customer voice, and corporate governance in large private businesses; and the House of Common’s BEIS Committee’s Corporate Governance Third Report of Session, the Financial Reporting Council (FRC) is also conducting a ‘fundamental review’ of the UK Corporate Governance Code.
Related post: Linking executive pay to your ESG strategy and targets
Additional resource: Key governance learnings from the Renault-Nissan scandal
Written by Liv Noble.