ShareSoc, the UK Individual Shareholders Society, one of BETTER FINANCE’s members has published today its new remuneration guidelines. In summary:
• FTSE100 CEO pay is too high. It should be less than half of current amounts.
• FTSE 100 CEO's maximum bonus should be 100% of salary (currently 200% is common) and the LTIP maximum normal annual award should be 100% of salary (currently 300% is common).
• Remuneration creep needs to be reversed.
• Share Options have a role to play in Directors' remuneration.
• ShareSoc has specific guidelines for smaller companies. Small companies will find these simple guidelines helpful. We suggest companies should follow these guidelines.
• ShareSoc Members will criticise companies who do not follow the ShareSoc guidelines and will raise questions at AGM's on compliance.
The full Guidelines are present on the ShareSoc web site here.
Please read the full press release from ShareSoc here.