Introduction We are now in the 8th year of the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”). Among other things, the implementation of Dodd-Frank meant the majority of public issuers had to learn to navigate the waters of shareholder advisory...
NFPCC Original Article: The Full Picture with Gender Pay Equity
Is gender pay equity gap as big of an issue in 2018 as it has been in previous years? We are all told that gender pay equity is measured on the same scale, but in reality the gap virtually disappears when analyzing the same level, company, and function. Most articles cite “The...
NFPCC Original Article: Incentive Plan Changes are Coming
Over the past eighteen months, discussions on incentive compensation structures have been taking on a different element at a rapid clip in boardrooms across the country – as a result of investor pressures in the energy industry, annual incentive and long-term incentive...
NFPCC Original Article: Q&A with Highlights from Tudor Pickering Conference
NFPCC was recently invited to participate in Tudor Pickering’s 2018 Hotter N’ Hell Conference. Dan Pickering quizzed NFPCC’s Chris Crawford on recent executive compensation trends in the energy sector. Here are just a few highlights from that “fireside chat”. Q: It...
NFPCC Original Article: What are We Paying For?
Non Performance-Based Compensation Factors & Why they Matter Too Add together the volatile ingredients of egregious CEO pay articles, gender pay gaps, say-on-pay votes, CEO pay ratio legislation, media bias, market volatility, compensation lawsuits, collegiate athlete pay...
NFPCC Original Article: Reactions to CEO Pay Ratios – the Destructiveness of Double Standards
The divisiveness of politics is reaching extremes in today’s climate. It’s incredible how the same story can be told by two different reporters and both will express the exact opposite information as fact. Walter Cronkite famously stated: “We all have our likes and our...
NFPCC Original Article: Paying for Performance in Not-for-Profits
DOWNLOAD THE WHITEPAPER Updated August 2020 With the passage of the 2017 Tax Act, more scrutiny continues to be applied to not-for-profit organization compensation. This follows recent actions from various state and federal agencies upping the ante on not-for-profit...
NFPCC Original Article: 2018 Proxy Season Preparations
December – a time for reflection on the year that was, review of company performance…and a first look at the latest policy updates from proxy advisory firms like Institutional Shareholder Services Inc. (“ISS”) and Glass, Lewis & Co., LLC (“Glass Lewis”). While it...
NFPCC Original Article: Compensation Landmines & Key Issues
“I would not give a fig for the simplicity this side of complexity, but I would give my life for the simplicity on the other side of complexity”. Oliver Wendell Holmes, Jr. Executive compensation practice and application is continually developing based on proxy advisory firm...
NFPCC Original Article: NFPCC’s Response to HBR’s “Decoding CEO Pay”
There was an article titled “Decoding CEO Pay” recently published in Harvard Business Review, and in our opinion here at NFP Compensation Consulting, Messrs. Pozen and Kothari have some valid points, and many that are not so valid. It appears they found a few unique, obscure...
NFPCC Original Article: Where Has All The Merit Gone?
It’s that time of year again as we enter the final quarter of a compensation cycle and the beginning of a new football season, with renewed hopes that this is your team’s year. With this entry into salary planning time for the general employee population, HR departments are...
NFPCC Original Article: CEO Pay Ratio Caps Will Not Work
Just last month, NFPCC’s “CEO Pay Ratio - Winter is Coming” article summed up the latest on the controversial pay ratio rule. This month, we dive into a related subject by taking a peek back in time to the mid-1970s. This past week, a 1977 Wall Street Journal article was...
NFPCC Original Article: CEO Pay Ratio – Winter is Coming
“Winter is coming” – a household phrase for those familiar with the Game of Thrones television series and book adaptation. Applied in the context of corporate issuers – CEO Pay Ratio is coming! Are you prepared? Are you familiar with how to run the calculation? Do you...
NFPCC Original Article: Upcoming HR/Reward Legislations and How You Can Impact Congress
Federal legislation impacts all citizens. This is especially the case for rewards professionals, as they must navigate and implement rewards programs that are subject to new legislation once it becomes law. Last spring, when WorldatWork held its first Legislative Summit in...
NFPCC Original Article: Compensation Media Bias
An article was recently published regarding the CEO of a not for profit, Health Care and Rehabilitation Services. Judith Hayward, the CEO, is reported to have received a $650,000 retirement package after 19 years of service. The author highlights the problematic excessive...
NFPCC Original Article: The Future of Compensation and Corporate Governance Amid a Trump Presidency
One thing is for certain, the results of the election created a myriad of questions regarding the future of American politics. Less certain, though, is the level of impact the results will have on the futures of various executive compensation and corporate governance policies...
The M&A Lynchpin: Success or Failure Starts with HR
The market for merger and acquisition ("M&A") activity increased sharply in 2014, largely as a result of the abundance of available cash and zero interest rate policies. According to a recent Proxy Mosaic analysis, the US market announced 9,814 deals amounting to over $1.5...
CLAWBACKS—IS TOMORROW Dodd-Frank DAY, our D-Day?
“The interval between the decay of the old and the formation and establishment of the new constitutes a period of transition which must always necessarily be one of uncertainty, confusion, error, and wild and fierce fanaticism.”—John C. Calhoun CLAWBACKS—IS TOMORROW...
NFPCC Original Article: There’s a New Sheriff in Town – 162(m) Compliance
Navigating the treacherous waters of regulatory reform and ensuring compliance with the countless rules and regulations imposed under the current administration places significant constraints on a company’s time and resources. Therefore, keeping up-to-date on current...
Less Freedom to Pay: Executive Comp After Financial Regulatory Reform
Click the link to the NFP Compensation Consulting article posted to SHRM Online - Less Freedom to Pay: Executive Comp After Financial Regulatory Reform. Say on Pay The “say-on-pay” provision included in the bill would give shareholders the opportunity to cast an advisory...