Administration April 15, 2008

Majority of Executives Say Shareholders Should Weigh In on CEO Pay

April 15, 2008 (PLANSPONSOR.com) - The latest Executive Quiz from Korn/Ferry International found 80% of executives indicated that shareholders should have at least some say on pay for their company's executives.
Reported by
Add as a preferred source on Google

According to a press release on the survey results, more than one-third of executives (34%) expressed at least some concern regarding their CEO’s compensation, compared to 21% of respondents in a 2007 Korn/Ferry survey of executives who felt their CEO was overcompensated.

“The tumultuous economic environment highlights the challenges with getting pay for performance right,” said Russell Miller, managing director of Korn/Ferry’s Executive Compensation Advisors, in the release. “The business community continues to focus on aligning pay and performance, and companies are having mixed success against this objective.”

Get more!  Sign up for PLANSPONSOR newsletters.

More than half (55%) of respondents indicated their CEO’s pay does not reflect or is only “somewhat” reflective of the organization’s results. Forty-two percent said their CEO’s compensation was in line with company performance.

Respondents from more than 50 countries, representing a wide spectrum of industries and functional areas, participated in the most recent Executive Quiz in March 2008.

«