Hermes Investment Management has said publicly-listed companies should look to change their executive remuneration models, echoing recent recommendations by the Investment Association.
In its report entitled Remuneration Principles: clarifying expectations, Hermes said well-structured remuneration practices were crucial to aligning the activities of management with a company's strategy and long-term performance. Old Mutual faces shareholder revolt over 'unusual' CEO pay package The firm proposed there should be a shift in the structure of executive remuneration packages including moving towards a more transparent approach and adopting a performance, rather than share price driven, attitude. There should also be greater accountability from the board and remuneration ...
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