L’Harvard Law School Forum on Corporate Governance publie un bel article sur les conséquences de la COVID-19 sur la rémunération des hauts dirigeants des entreprises américaines : « COVID-19 and Executive Pay: Initial Reactions and Responses« (de Stephen Charlebois, Phillip Pennell, and Rachel Ki).
Extrait :
Though businesses have managed executive pay programs through tough economic conditions before, they now must do so under an unprecedented confluence of external expectations and scrutiny, from the advent of Say on Pay to increased shareholder engagement to the beginning of an era of stakeholder primacy.
While results vary across industries, findings indicate that a majority of U.S. corporations have not yet formulated a response to COVID-19 on executive pay but anticipate taking some form of action later in 2020.
What should you take away from the results of this survey?
- There is no universal response. Findings indicate a variety of approaches influenced by company outlook, industry dynamics and broader context
- That said, most companies are delaying action until there is greater clarity. Companies that already made pay decisions are generally waiting until payout determinations to see if adjustments are necessary, and those that have not yet made decisions in 2020 are delaying until the impact of COVID-19 is better understood
- Companies acting now are doing so out of necessity and are primarily in the hardest-hit industries where immediate cash preservation is a key priority
What are key considerations going forward?
- Timely, effective communication is key. Shareholders, employees and customers are all closely monitoring the actions companies are taking in response to the crisis; if decisions are made, transparent and honest communication can build positive alignment and strengthen relationships with key stakeholders
- Align executive pay with the stakeholder experience. Company actions are being closely monitored and the expectation is that shareholder experience should be reflected in compensation decisions (i.e., significant shareholder value losses or headcount reductions are accompanied by lower pay outcomes for executives)
- Establish objective principles for using discretion. While quantitative metrics may be difficult to rely on at this time, establishing a list of factors for Committees to consider if they decide to apply discretion at the end of the year will allow companies to demonstrate that decisions were made in ways that demonstrably tie back to business context.
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Ce contenu a été mis à jour le 30 mars 2022 à 5 h 33 min.
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