Say on Pay Measures Have Teeth

Posted on May 16, 2011 by Michael Stocker

For years, questions have been raised about whether purely advisory “say on pay” initiatives have any teeth. Those doubts are being put to rest in this proxy season, as new say on pay measures are subjecting executive compensation packages to an unprecedented level of scrutiny. This activity will only increase with the roll-out of sweeping new requirements for shareholder votes on executive compensation set out in Section 951 of the Dodd Frank legislation. 

 

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