Board remuneration

Board remuneration2018-11-27T15:08:22+11:00

Comprehensive expertise in NED remuneration

Established in 2001, GRG has been an independent expert provider of comprehensive NED (non-executive director) remuneration services.  Our consulting services, advice and recommendations aim to be clear, precise and transparent so that boards can manage NED remuneration issues cost-effectively and strategically.

To mention but a few, our range of bespoke NED remuneration services include:

  • Remuneration benchmarking of NED Main Board Fees (MBF) sourced from GRG’s largest ASX NED remuneration database in Australia
  • Insightful approaches to setting pay relativities between Chair and NED remuneration
  • Committee fee recommendations and customisation including prevalence analysis in particular market segments
  • Unique design of NED equity participation plans that are acceptable to shareholders and stakeholders in the context of good governance relating to this issue
  • Analysis of aggregate fee limits (AFL)
  • Analysis of voting patterns on Remuneration Reports
  • Assistance with drafting Remuneration Report disclosures to ensure maximum clarity and shareholder support
  • Communication and governance advice relevant to NED remuneration issues
  • Keeping NEDs informed regarding changes in the regulatory environment and increasing levels of compliance required
  • Mitigation strategies for the “two strikes” rule

Recent GRG Remuneration Insights on this topic

  • Remuneration and Financial Crisis Management

    No business will be immune from the adverse effects of COVID-19 beyond the short term. Lessons from the Global Financial Crisis, as well as innovations since, can be drawn upon.…

  • The Equity Holding Trend

    An emerging corporate practice is the imposition of minimum equity holding guidelines, "equity holding policies", on NEDs and senior executives. But all are not equal, and most do not deal…

  • Double Standards in KMP Pay: NED Fees

    Over recent years NED fee increases have not kept pace with the fixed pay of senior executives, or even general employees. Companies that have not introduced NEPs will soon need…

  • Boards are Underpaid

    Our own analysis indicates that fees paid to NEDs are significantly lower than their executive counterparts. Although boards have been reluctant to tackle this issue, it is an important one…

  • Remuneration Paid in Equities for Non-executive Directors

    Significant equity holdings by NEDs in companies where they are on the board is a tax-effective way of ensuring strong alignment between their long term interests and that of shareholders.…