Several long-tenured directors will close 2017 by bidding farewell to board seats, according to data from public company intelligence provider MyLogIQ. Boards will also see a wave of incoming directors. At medical technology company Stryker, Howard Cox, Jr., will retire from the board after 44 years with the company, which includes five years before it went public in… Continue reading Board Moves: Longtime Board Members Say So Long
Category: Agenda
Are Term Limits Making a Comeback?
Term limits have long been regarded as too blunt an instrument for board refreshment, particularly in comparison with annual board evaluations. But it appears that term limits may be poised to stage a comeback. Since 2015, such boards as General Electric, Illumina, Microsoft, Signet Jewelers and Sysco have adopted tenure or term-limit policies designed to cap board service and curb overly long… Continue reading Are Term Limits Making a Comeback?
Boards Engaging With NYC Pensions on Disclosure
More than 100 companies have responded to the New York City Pension Funds’ Board Accountability 2.0 campaign during the past two months. The pension funds sent letters signed by NYC comptroller Scott Stringer to 151 nominating and governance committee chairs in a bid to compel the boards to disclose individual directors’ skills, gender, ethnicity, age, tenure and —… Continue reading Boards Engaging With NYC Pensions on Disclosure
Board Moves: Boards Stock Technology Committees
Recruitment of technologists who can help boards oversee strategy, technology and cyber security continues apace, and those directors are joining committees that oversee technology and operations. In the past month, companies such as Citigroup, Total System Services, Williams Sonoma and World Fuel Services appointed directors with technology expertise, and in nearly all cases, the new directors were simultaneously appointed to tech… Continue reading Board Moves: Boards Stock Technology Committees
A Call for Stronger Independence Disclosure
A forthcoming study argues that bright-line legal tests for determining director independence are out of date and lead to an overreliance on boards’ discretion. Instead of asking investors to just take boards’ word for it, the study posits that companies should disclose all the factors a board considers in determining the independence of individual directors.… Continue reading A Call for Stronger Independence Disclosure
Directors Confront Overscheduling Long Before Overboarding
For Dale Jones, it was a creeping realization that settled in over time. Two outside board seats, plus serving as a newly minted CEO, was just too much. “I was looking at the calendar and trying to fit it all in and I realized that I didn’t have enough margin to make it all work,” says… Continue reading Directors Confront Overscheduling Long Before Overboarding
Mandatory Equity Deferrals for Directors On the Rise
A small but growing number of boards are requiring that directors defer a portion of their annual equity compensation until after board service ends, although some experts caution that such an approach could potentially come back around as a hindrance in board recruiting. … Deferral Differences A look at director compensation plans using MyLogIQ, an SEC compliance and… Continue reading Mandatory Equity Deferrals for Directors On the Rise
‘New Normal’ in Pay Extends to Directors
The relatively nominal raises seen in CEO pay at the largest companies are also being reflected in boards’ increases to their own pay plans. Compensation consulting firm Willis Towers Watson reports that among 300 Fortune 500 companies, total direct compensation for directors grew 2% at the median, to roughly $260,200, from 2016 to 2017. Among the 300 companies reviewed in the… Continue reading ‘New Normal’ in Pay Extends to Directors