Remuneration and governance post Hayne – save the date

The afternoon of 7 March 2019 in Melbourne, and the morning of 11 March 2019 in Perth

FY 2018 is not turning out well for the chairs of many ASX company board remuneration committees. The number and extent of “no” votes on remuneration reports are up again. Some companies have backtracked on alternative remuneration frameworks, either reverting to the traditional STI and LTI model, or promising review. And, over this hangs the potential for more regulation stemming from the Hayne Royal Commission.

But, to what extent can morality and culture be regulated? Can, or should, boards remunerate executives for good behaviour and culture? Does this assume that not doing so implies immorality and poor culture are acceptable?

Is it the case, as Hayne has said in his Interim Report, that greed is the root of the current misconduct? Or, is it as philosopher and economist Adam Smith said, that “rational self-interest” and competition are essential for economic prosperity?

What are the roles of board directors and shareholders in navigating this minefield?

These issues will be a key focus of our 13th Remuneration and Governance Forum, co-sponsored by Guerdon Associates and the proxy adviser, CGI Glass Lewis.

Save the date – the afternoon of 7 March in Melbourne, and the morning of 11 March in Perth. These dates are after the Hayne Royal Commission has published its final report, and a likely government response has been framed.

Invitations will be sent in late January to company directors, institutional investors, regulators and company executives.

As in past Forums, the Chatham House Rule applies. News media will be excluded. Open and frank discussion is encouraged.

Watch your inbox for an invitation. If you think you may not be on the list, let us know.

© Guerdon Associates 2024
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