March 19, 2020
Poll Results: COVID-19 & Exec Comp Plans
– Lynn Jokela
A new poll from Pearl Meyer shows that although most companies haven’t considered how the COVID-19 pandemic will impact executive compensation in 2020 – many have considered the potential impact when setting incentive plan goals for 2020. Among the study’s findings:
– For committees that have discussed the potential impact on their goal setting process, the most prevalent approaches are to revisit 2020 goals later in the year and make necessary adjustments or to exclude the adverse impact of coronavirus when evaluating performance
– Most comp committees haven’t discussed how the coronavirus might impact executive incentive payments from 2020 annual or long-term incentive plans
– More than a third of companies have begun tracking the financial impact of coronavirus
Responses represent close to real-time data – the survey included responses from 233 public company and private company participants over the last week – March 10-16.