GRG Remuneration Insight 79

by Denis Godfrey & James Bourchier

Retesting of long term incentives (LTI), where executives are given more than one opportunity to meet LTI vesting conditions by changing the measurement period, has not been well regarded by external stakeholders for some time. However, with stakeholder groups calling for LTI measurement periods to be extended beyond three years, an unexpected compromise has emerged, and it involves retesting.