FTSE-100 to offer vote on directors' pay
More than a third of FTSE-100 companies plan to offer shareholders a vote on directors' pay this year, according to new research.
A survey of more than half of the UK’s leading companies revealed there is expected to be a threefold increase in the number of companies offering shareholders a vote on boardroom remuneration.
The move, according to the Trade Union Congress, comes in response to government plans to introduce legislation next year making shareholder voting mandatory.
‘Directions: Corporate Governance Issues’ conducted by Edis-Bates Associate, secretarial consultants, found that 37% of FTSE 100 companies plan to offer a vote this year.
Massive payouts to financial directors were a highlight of the latest FD salary survey by sister publication Financial Director magazine, with five FTSE-100 FDs earning over £1m.
But in September last year, Trade and Industry secretary Patricia Hewitt hinted at government action to stop directors of failing companies getting big salary increases or huge payoffs.