Bob Romanchek, Partner at Meridian Compensation Partners, is the featured expert on this episode of The Executive Compensation Podcast. Robert has more than 30 years of experience consulting on executive compensation matters at large, small, and mid-cap companies, both public and private.
In 2015, the SEC proposed, but never finalized, regulations governing clawbacks and pay-for-performance. The current statute’s vague parameters make it difficult to build compensation structures that are effective and compliant. The SEC recently announced that it intends to finalize regulations by April 2022.
In light of this, Robert offers advice on how companies can prepare for new regulations. Regarding pay-for-performance, companies need more specific requirements from the SEC to build compensation models. Rather than modifying clawback policies, Robert recommends taking inventory of existing policies and processes and waiting for final rules.
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