The SEC’s new rule mandating Pay-vs-Performance disclosure takes effect for fiscal years ending on or after December 16, 2022. Public companies are feeling the pressure of navigating complex new requirements on an incredibly short timeline. In this podcast, Daniel Rodda and Laura Hay break down what companies need to know as they begin this process.
-The rationale behind the new Pay-versus-Performance Disclosure and its key requirements.
-What data should be included in the table and what should be included in the narrative to provide further context.
-The options companies have for selecting that data, from peer group selection to specific performance metrics.
-How companies will calculate “compensation actually paid” and why it’s so complicated.
-Key considerations for communicating the pay-for-performance story clearly and effectively.
-Potential impacts on shareholder perceptions and proxy advisor evaluations.
-What companies should be doing now to get the ball rolling. … and more!