April 3, 2019
More on “Role of Diversity for the Compensation Committee”
– Broc Romanek
Here’s a note from a member that I received in response to the panel discussion excerpted from this blog recently:
ARGH! Ms. Mulcahy could not be more wrong. Time and again, companies prove that if management’s compensation is not tied to a goal, it will not be achieved. It took say-on-pay to get companies to actually focus on performance – 20 years after 162(m) was adopted. It took the heavy hand of ISS to force companies to reduce equity spend. If we tied CEO pay to diversity, we could accelerate the time to equality to five to 10 years, instead of two generations from now.
Did you know the class of future BigLaw partners that will be the first class to experience a truly diverse board reflective of gender balance has yet to be born? That is, at the current rate of growth in females as equity partners, it will take until 2059 to reach parity. So the 35-year old lawyer who makes partner in 2058 won’t be born for another four years. Outrageous that my seven-year old daughter will still be a “diverse” lawyer should she choose to go to law school.