Articles & White Papers
As part of the Human Resources team who has significant compensation expertise, you may be feeling a little, well, left out. The climate around executive compensation is complicated right now, including both increased regulation and increased outrage (not coincidental, by the way). It may have your compensation committee bringing in the big guns—external resources called in to help them make pay decisions.
Are your company’s stock options considerably underwater? Many companies have
chosen a "value-for-value” exchange, trading employees’ underwater options for an equal value of at-the-money stock options, restricted stock, or cash. Exchange programs to deal with underwater stock options require careful oversight by a compensation committee.
The results of our Spring 2009 Response to the Economic Downturn Survey are in. This release highlights the trends and issues facing Compensation Committees and executive teams as they respond to the continually challenging economic climate.
Changes in executive compensation over the next three to six months will affect not only pay for executives but also the oversight of board members and compensation committee members. We identify six areas to watch in executive compensation in proxy season 2009.
Do we pay Board members for oversight responsibility? Performance of the company? Or both? This is one of the most basic issues of compensating directors … and it is one that is rarely addressed. We look at practices ripe for rethinking in Board compensation.
DolmatConnell & Partners provides different thinking for different times
DolmatConnell & Partners released a whitepaper focusing on the fundamental shifts around executive compensation during troubled economic times. Highlights of the seven-page whitepaper include a look at the impact of the economic crisis on executive compensation plans, corporate-wide bonus plans, and long-term incentive (LTI) plans, as well as detailed recommendations for rethinking current executive compensation plan components such as bonus plans, underwater stock options, annual LTI grants, and performance-based LTI plans.
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DolmatConnell & Partners provides recommendations to increase the effectiveness of the House Emergency Economic Stabilization Act of 2008
DolmatConnell & Partners released a whitepaper of the proposed House Emergency Economic Stabilization Act of 2008. Of note, DolmatConnell & Partners explored several solutions that could be easily implemented and are significantly better than those currently proposed in the bill.
On July 3, 2008, the SEC issued its updated Compliance & Disclosure Interpretations of its new proxy disclosure rules for executive and Director compensation. The revised guidance provides clarification on matters that have already been addressed as well as direction regarding newly arisen queries. DolmatConnell & Partners provides this Client Alert as a summary of the new guidance.
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2007 brought some remarkable stories to the executive compensation forefront. From CEO severance payouts, to shareholder activism through “say on pay”, to women Board members earning more than their male counterparts, this past year in the executive compensation landscape saw abundant action on the news pages.
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The Securities and Exchange Commission (SEC) issued a report summarizing common themes from comment letters related to executive compensation disclosures sent to 350 companies. The report provides the SEC’s evaluation of compliance with the revised disclosure rules and provides guidance on how those companies could improve disclosure. The actual comment letters will be published later.
So much has changed in recent years for Compensation Committees that many Directors find themselves lost in the whirlwind of adjustments. The following list provides 9 tips for Compensation Committees to become more effective. The tips explain best practice ideas aimed at using tools and techniques frequently used by well-run Committees.
Recently, both the Securities and Exchange Commission (SEC) and the Internal Revenue Service (IRS) made disclosures about key aspects regarding their oversights of the evolving executive compensation environment. The SEC decision not to issue new or amended rules regarding the recent compensation proxy disclosures is somewhat disturbing to Compensation Committees, attorneys, consultants and management teams who have struggled with preparing the landmark overhaul of shareholder communication regarding executive and director pay practices. This isn’t a case where no news is good news.
Learn about the latest trends in long-term incentive compensation and what your company should be thinking about to motivate and retain its top performers.
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DolmatConnell & Partners provides a quarter-by-quarter checklist of member responsibilities and duties that will help ensure that compensation committee meetings are thorough and compliance-ready.
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DolmatConnell & Partners offers a comprehensive checklist for Compensation Committees that guides Directors through the steps necessary to ensure all compensation tools are in place before Initial Public Offerings.
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Directors & Boards
June 2006
Ten action items for the compensation committee to take today to prepare for the SEC’s proposed changes to executive compensation disclosure.
The stock option backdating scandal continues to affect many high-profile companies. Our article explains what option backdating is, discusses the current scandal, and provides steps to take to ensure backdating does not occur at your firm.
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