Retention Incentives and Sign-on Bonuses (Awards)
1 December 2022When offered to executives, retention and sign-on awards can be viewed as controversial and even inappropriate. With the latest market data we explore the resultant stakeholder tensions and variations which may address their diverse priorities.
Latest Market Insights into Incentive/Variable Remuneration Trends
8 November 2022Each year GRG analyses the senior executive incentives practices of the ASX300 and publishes the results in the Variable Remuneration Guide to help clients determine whether a deeper strategic review may be needed. We highlight some of the key findings from the latest edition.
Alert Update for Equity: Corporations Act Compliance
14 October 2022New ESS provisions in the Corporations Act came into effect on 1 October 2022, with implications for almost all equity plans operated in Australia – and substantial problems.
Alert: New On-sale Restriction for Shares Issued on Exercise of Rights etc.
4 August 2022New employee share scheme (ESS) provisions in the Corporations Act come into effect for offers made on or after 1 October 2022, while Class Orders (COs) 14/1000 and 14/1001 will cease to apply to new offers. The COs provide various forms of relief from Corporations Act requirements.
Off-the-Shelf vs Bespoke Benchmarking (Real Data Example)
19 July 2022Do you need tailored remuneration advice this year, or just an update of market data and movements? Using real, current market data, we illustrate the differences between the approaches, and how you might decide which is best for your business at any given time.
The Unlisted Equity Plan Revolution: Is Equity Right for You?
22 June 2022Poor drafting of legislation intended to support widespread use of equity by unlisted companies instead prevented most from developing a compelling ESOP. Complete with a decision tree, this Insight will help you determine whether now is the right time to consider a new ESOP or even a replacement.
Employee Share Scheme Corporations Act New Provisions (Division 1A of Part 7.12)
6 June 2022From 30 September 2022, recent amendments to the Corporations Act will create a new regime governing Employee Share Schemes (ESSs) designed to remedy the impediments to both listed and unlisted companies trying to introduce an ESS. In this Insight we outline the new regime.
Universal Long Term Incentive Grant Calculation Formula
26 April 2022Flaws in many of the various calculations of equity instruments for LTI grants result in inappropriate numbers being granted. To address the issue, GRG has developed a universal formula for this calculation, applicable to LTIs and other purposes.
Optimising ESOPs With Advanced Administration
16 February 2022Common traps, missed opportunities and issues often make ESOPs seem harder and more expensive than they need to be, and undermine their impact. Fortunately, a range of simple, cost-effective solutions make ESOPs and equity-based remuneration the most attractive form of remuneration.
4 Key Mistakes in Benchmarking to Avoid in 2022
31 January 2022Benchmarking KMP remuneration may seem like a simple process, but it can quickly and easily go wrong. We set out four pitfalls to avoid when benchmarking in 2022, using the example of a fictitious online electronics retailer, Nogan Limited.
Why Is STVR Deferral an Essential Ingredient in the Remuneration Mix?
29 October 2021STVR typically rewards performance over a single year of the company's annual business plan. For many years it was paid entirely in cash, which promoted short-termism at the expense of the company's longer-term benefit. Here we look at future best practice, including how deferring STVR can support long term alignment, equity holding policy requirements, and “skin in the game”.