Testing Pay for Performance

Havey, Chris; Limmer, James
September 2015
NACD Directorship;Sep/Oct2015, Vol. 41 Issue 5, p72
The article discusses the process of testing pay for performance and its importance to ensure the directors of a company of the effectiveness of the compensation programs. Topics covered include the advantages of testing the alignment of pay with performance in benchmarking the executive pay of a company, tips on how to test the alignment and the benefits of the appropriate alignment of pay and performance in developing proxy disclosures.


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