May 19, 2010
Top 10 Compensation Committee Agenda Items for 2010
– Dave Swinford, Pearl Meyer & Partners
Recently, our firm released this memo, discussing these ten items that should be on top of the compensation committee’s agenda this year:
1. Revisit Your Executive Compensation Strategy and Philosophy
2. Address Possible “Red Flag” Compensation Practices
3. Validate and, Where Needed, Strengthen Pay-for-Performance Relationships
4. Expand Assessment of Compensation-Related Risk
5. Review Long-Term Incentive Program Design
6. Adopt an Enforceable Clawback Policy
7. Reconsider the Need for Employment Contracts and Severance Agreements
8. Improve Proxy Disclosure in Preparation for “Say on Pay”
9. Create a More Rigorous CEO Evaluation Process
10. Evaluate the Adequacy and Independence of Compensation Advice