Covid-19 has considerably altered the dynamic around CEO compensation. How are investors, compensation committees, and CEO themselves approaching the question in the current environment
With the COVID-19 crisis still unfolding around us, the uncertainties keep piling up. One of the very few things we can be certain of in the current environment relates to CEO compensation: current trading conditions mean that very few CEOs will reach their performance targets this year.
If this is the case, what does this mean for how pay will ultimately be rewarded? How will board compensation committees react? And, ultimately, how will shareholders view any changes? Will they support CEO pay packages, and any COVID-induced changes, during this year’s shareholder meeting season?
Dan Konigsburg, Global Corporate Governance Leaderlinkedin.com/in/dan-konigsburg-bb5923/
Dan is the Global Corporate Governance Leader, managing director of the Global Center for Corporate Governance, and a leader of DTTL’s Public Policy program. For corporate governance, he leads a network of 30 member firms that engage with clients’ boards of directors and audit committees. In his Policy role, he helps lead 30+ member firms that work with policymakers on important issues to the firm, e.g.: corruption, trade, and women in business.
Benjamin, a managing director with Deloitte Consulting LLP, and a co-leader of Deloitte’s Chief Executive Program. The founder and former leader of New York's Deloitte Greenhouse® Experience, he has designed and facilitated hundreds of immersive “lab” experiences for CEOs and their leadership teams where he combined principles of business strategy with behavioral science and design thinking to address clients’ challenges.
Previously a senior member of Monitor Deloitte’s Strategy practice and a co-founder and president of a private equity-backed 300-person telecommunications provider, Benjamin has been focused for more than 20 years on researching and understanding how companies succeed in disruptive markets.