Shareholders are more demanding with Executive salaries
21 October 2024 Articles
Support for Executive remuneration policies at Ibex-35 issuers declined during this year's proxy season.
According to our latest European Proxy Season Review, in 2024, Ibex-35 issuers submitted 16 remuneration policies to shareholder vote. On average, dissenting votes amounted to 14.3% of total cast votes, while average support amounted to 85,7%. This figure represents a decrease compared to the 86.1% approval in the 2023 proxy season (13.9% against) and the 87.7% in 2022 (12.3% against).
As usual, stakeholders' concerns surrounded executive quantum compared to company performance, the report's disclosure quality, and the use of remuneration schemes that contradict international best practices.
As in previous years, most Ibex-35 issuers require the achievement of ESG targets to vest their executives' variable pay schemes. Sixty-nine percent of them include ESG targets in both short-term and long-term compensation plans, while the annual bonus is the preferred element to include them (87.9%).
Read the full article here (in Spanish).
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