Commenting on the final report from the High Pay Commission on executive remuneration published today, Joanne Segars, Chief Executive of the National Association of Pension Funds (NAPF), said:
“Pension funds as active shareholders have long urged restraint in setting directors' pay. But when rewards are significantly more generous than those given to other staff, it is crucial that there is a clear and solid explanation about the link between their rewards and performance. There should be no reward for failure.
“Complex bonus structures and the lack of transparency around executive pay are key parts of the problem. If we are to make progress on executive remuneration, it is essential that boardrooms explain clearly why top execs earn what they do. Executive directors should be rewarded based on their performance and the value they create for the business and the shareholders.”
Notes to editors:
1.The NAPF is the leading voice of workplace pensions in the UK. We speak for 1,200 pension schemes with some 15 million members and assets of around £800 billion. NAPF members also include over 400 businesses providing essential services to the pensions sector.
Paul Platt, Head of Media and PR, NAPF, 020 7601 1717 or 07917 506 683, [email protected]
Christian Zarro, Press Officer, NAPF, 020 7601 1718 or 07825 171 446, [email protected]