When it comes to executive pay, what matters more: how fat the sum or how ethical the scheme?
Excessive bonuses, uneven wealth distribution and performance-sapping incentives were some of the contentious issues debated by experts at this Centre for Corporate Governance (CCG) event.
Why have executive pay practices created such public concern and led many institutional investors, professional bodies and commentators to voice their unease?
The discussion kicked off with a retrospective look at the driving forces behind increasing executive pay. The debate addressed:
- How pay and performance are linked and whether current practices lead to short-termism
- Whether the sheer quantum of pay undermines corporate legitimacy
- The role of shareholders and whether they provide sufficient scrutiny
- The reforms needed to create a robust, fair system.
View the speaker’s biographies
This event brought together rigorous academic evidence with practitioner insights from a wide range of perspectives, including:
- Paul Coombes, Chairman, CCG
- Alex Edmans, Professor of Finance, London Business School
- Paul Myners, CBE, Partner and Chairman, Cevian Capital AB
- Tom Gosling, Partner, PwC
- Dame DeAnne Julius, DCMG, CBE, Chair, University College London
Faculty insights on executive pay: