As companies build or revise their clawback policies, it is important to allow for misconduct as a standalone trigger.
Misconduct is what really upsets investors, shareholders, and stakeholders. It’s what makes headlines and what makes the public demand punitive action.
In this short video, Annette Leckie, Partner at Meridian Compensation Partners, outlines the different types of misconduct a company should consider adding to its clawback policies.
She provides examples of criminal misconduct, violations of company policy, and even incidents of negligence or failure that might act as possible triggers. She also explains why some misconduct should be evaluated in terms of company harm.