Board member contingent compensation: watch your back
Abstract
Purpose
Examines new SEC guidelines for the reporting of “Executive Compensation and Related Party Disclosure”.
Design/methodology/approach
The study discusses the new SEC guidelines for the reporting of “Executive Compensation and Related Party Disclosure”.
Findings
The compensation of governance boards should not include contingent arrangements of any sort, certainly including stock options.
Practical implications
Provides executives with information on important factors to consider in compensating board members.
Originality/value
Of particular value to CEOs and other board members.
Keywords
Citation
Dalton, C.M. and Dalton, D.R. (2006), "Board member contingent compensation: watch your back", Journal of Business Strategy, Vol. 27 No. 5, pp. 4-6. https://doi.org/10.1108/02756660610692635
Publisher
:Emerald Group Publishing Limited
Copyright © 2006, Emerald Group Publishing Limited