Because these were all written at the time for Salary.com (now Kenexa) where I was a Fellow, whatever that is or was, I can’t update them, per se.
Then I read them, and realized they hardly need updating. In fact, the premise of each has been strengthened over the past four years and there are even more pressures on the three topics. Sure, the data references need to be recent and there are more inputs to the issue – primarily the new Dodd-Frank disclosures (CEO pay ratio and CEO pay for performance).
Consider, since 2007/2008:
- Investor, proxy adviser, and SEC scrutiny has extended from how executives are paid versus peers, to which companies are actually in the peer group and how that peer group was determined.
- Performance plans, somewhat avant garde back in 2007, are fast becoming a mandated approach in the US as we are now in the say-on-pay era – exactly the pattern we saw in the UK with the advent of say-on-pay. Now this solution has become yet another problem, as I have written and presented on.
- And cash long-term incentives, still under the radar due to compensation survey firms’ and proxy data services’ inadequate tracking of them, are growing in prevalence faster than reported, due to the odd combination of shareholder concerns about dilution and many companies with large amounts of cash on their balance sheet.