Call to reform executive pay bodies

[mertle]

http://www.express.co.uk/posts/view/...ive-pay-bodies

How many cableforum not suprised by this research. That Executive Pay bodies many are ex executives. No wonder Executive pay snowballed when see these stats top FTSE100. I bet if we expanded to top FTSE500 it would be the same story.

A study of firms in the FTSE 100 found that of 366 people who sit on remuneration committees setting pay for top bosses, just 10% were not from business and only 16% were women.

Almost half of those on remuneration committees were current or former company executives, according to the study by the High Pay Centre think-tank.

[Taf]

It's like putting pigs in charge of the trough

[mertle]

Originally Posted by Taf

It's like putting pigs in charge of the trough

LOL taf you not wrong though

Thought this comment highlighted how wages snowballed. It seems little common sense was to say hang on what are we doing.

Spokeswoman Deborah Hargreaves said: "In the UK we have a system designed and run by people with an apparent vested interest. They fall victim to 'group think', setting ever higher packages based on what they know is paid in other top companies creating a ratcheting effect on top pay.

"We know that top pay is completely out of step with public opinion. The committee which sets this top pay is, in effect, a closed shop. In handing out ever greater rewards they are damaging public confidence in business and distorting the market.

The boardrooms of FTSE-100 companies are stuffed with non-executive directors who are CEOs of other FTSE-100 companies. The whole thing is a self-sustaining mutual back-scratching society.

The shareholders of these companies are supposed to be able to put pressure on the board to behave, but since those days the shareholders are, overwhelmingly, massive anonymous pension funds, which don't particularly care what goes on in the boardroom so long as the dividends keep flowing, the system is essentially broken.

[mertle]

Originally Posted by Chris

The boardrooms of FTSE-100 companies are stuffed with non-executive directors who are CEOs of other FTSE-100 companies. The whole thing is a self-sustaining mutual back-scratching society.

The shareholders of these companies are supposed to be able to put pressure on the board to behave, but since those days the shareholders are, overwhelmingly, massive anonymous pension funds, which don't particularly care what goes on in the boardroom so long as the dividends keep flowing, the system is essentially broken.

good points sadly dont think anything change personally it will take huge dose off concience for that to happen. Governments wont take them on else they will take there ball away go somewhere else. yo see how they frightened on tax issues to see they wont take on corporates.

Chuka Umunna talks big but labour would just as scared to start war on big corporates.