Energy Compensation Consultants
Due to current market downturn and volatility, your organization may be experiencing financial turmoil. NFPCC has decades of experience in compensation strategies for restructurings, reorganizations, workouts, bankruptcies, insolvencies and other matters involving financially distressed transactions in the oil and gas/energy sector. See our restructuring capabilities here.»
At NFP Compensation Consulting , we pride ourselves on being the foremost experts on strategic compensation and governance matters in the energy industry. Our expertise is rooted in our leadership’s experience as board members, corporate employees and consultants at energy companies since the 1980s – over 30 years of valuable insight. The industry has witnessed many commodity cycles over those three decades, and through them we built our reputation as the “go-to” firm for advisory services through best-in-class data and service.
NFPCC endeavors to assist clients in developing compensation strategies that manage the volatility in the energy market and focus on strategic alignment of pay across all human capital assets – executives, boards of directors and broad-based employees – while linking pay to shareholder performance. Recognizing no two clients have the same identity, it is our goal to ensure we understand a client’s competitive profile and how we can best support the achievement of long-term value creation.
NFPCC serves a diverse client base, from small, privately held entities to Fortune 500 stalwarts, spreading across upstream, midstream and oilfield services segments. Below is just a small sample of companies NFPCC has worked with.
Diverse Service Suite for Energy Companies
- Compensation Philosophy Development
- Peer Group Development
- Executive Compensation Analysis
- Annual and Long-Term Incentive Plan Design
- Board of Director Compensation Analysis and Structure
- All Employee Compensation Analysis and Salary Grade Development
- Severance Benefit Design
- Employment Agreement Design
- Compensation Risk Assessment
- Merger and Acquisition Integration
- Investor Relations, Shareholder Engagement Strategy
- Succession Planning Design
- Retirement Compensation Design
- Compensation Discussion & Analysis Drafting, Review
- Compensation Surveys
Energy Compensation Facts & Figures
NFPCC develops and conducts annual compensation surveys specifically for the upstream and midstream energy segments, as well as the energy industry as a whole. These surveys provide historical, real-time and projected compensation policy, design, and benchmark trends. Below are key takeaways from our latest surveys. Be sure to visit our surveys page to learn more about our offerings and future participation opportunities.
UPSTREAM SEGMENT TRENDS
- The median 2024 projected salary increase budget for all employees is 3.0%.
- The most commonly used financial and operational metrics for annual incentive plans are Free Cash Flow and Volume metrics, respectively.
- The most commonly used financial metric for long-term incentive plans is TSR.
- 35% of respondents accelerate vesting of equity for executives in the event of a change-in-control with a qualifying termination.
MIDSTREAM SEGMENT TRENDS
- The median 2024 projected salary increase budget for all employees is 4.0%.
- The most commonly used financial and operational metrics for annual incentive plans are EBITDA and Subjective metrics, respectively.
- The most commonly used financial metric for long-term incentive plans is Cash Flow.
- 30% of respondents accelerate vesting of equity for executives in the event of a change-in-control with a qualifying termination.