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NEWS
7 August 2023
ENFORCEMENT OF DODD-FRANK CLAWBACK POLICIES UNDER FOREIGN LAW
article

Duncan A. W. Abate, Miriam Bruce, Aline Fidelis, Christopher Fisher, Régine Goury, Julien Haure, Dr. Hagen Köckeritz, Ryan J. Lieb, Laura D. Richman, Jad A. Taha,  Jennifer C. W., Tam Hong 

Executive pay
Finance, tax and accounting
Executive plans
Stock options
France
Germany
Greater China
Hong Kong
Singapore
UK and Channel Islands
USA

The article discusses the enforcement of Dodd-Frank clawback policies under foreign law, focusing on executive compensation. The US SEC's Rule 10D-1 mandates the recovery (clawback) of incentive-based executive compensation in the event of accounting restatements. The NYSE and Nasdaq proposed listing standards to comply with this rule. The article explores how clawback policies could be enforced in various countries including Brazil, China, France, Germany, Hong Kong, Singapore, the United Arab Emirates, and the United Kingdom. It addresses aspects such as enforceability under local law, deducting amounts from future compensation, and provisions to enhance enforcement. The application of these policies varies across jurisdictions based on legal frameworks and regulatory guidelines.

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NEWS
26 September 2023
THERE'S ANOTHER GENDER PAY GAP: STOCK OPTIONS
article

SOURCE: Wall Street Journal

Trending now
Cash deferral
Choice plans
Discount shares
Employee stock purchase plans (ESPP)
Equity deferral
Executive plans
Non-qualified plans
Performance cash
Performance shares
Restricted shares
Save as you earn (SAYE)
Share incentive plans (SIP)
Stock appreciation rights (SAR)
Stock options
UK and Channel Islands
USA

Women often don’t know what to ask for, experts say. And companies don’t tell them.

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NEWS
9 August 2023
EMPLOYEE SHARE OWNERSHIP IS A PERK WORTH EXPANDING | FINANCIAL TIMES
article

SOURCE: Financial Times

Design and strategy
Employee stock purchase plans (ESPP)
UK and Channel Islands
USA


The article discusses how few companies offer equity ownership to most employees, despite its potential benefits for engagement and wealth equality. It highlights the need for well-designed plans, policy support, and financial education to make this practice more widespread. Turning more stakeholders into capitalists can align with stakeholder capitalism principles.

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1.1 EUROPEAN SHARE PLAN INSIGHTS: EQUITY OFFERINGS ACROSS THE CONTINENT

Join our enlightening session as we unravel the intricate web of country-specific challenges in Europe and equip you with the knowledge to overcome them effectively.

Don't miss this opportunity to arm yourself with the knowledge and strategies needed to thrive in the diverse regulatory landscape of European markets.

KEY LEARNING POINTS:

  • Navigate legal hurdles: Delve into the key tax, legal, and administrative challenges that businesses encounter in various European jurisdictions, including Belgium, Germany, Russia, the UK, France, and more.
  • Stay informed on enforcement: Stay ahead of the curve by gaining insights into enforcement activities that could impact your company's operations.
  • Create a strategic action plan: Leave the session with a concrete action plan to address these challenges head-on. Discover how to leverage country-specific appendices and compliance matrices to tackle issues such as securities exemptions, data privacy, tax withholding obligations, entitlement matters, and more across Europe.

 

CPE CREDIT HOURS: 1.0*

Field of study: Specialized Knowledge
Levels: O
Delivery method: Group live
Advanced preparation: None

CEP Continuing Education (CE) credit: 1.0 credits

Please visit our Continuing Education and Event Policies pages for more information.


 

Speaker/Author

Will Clifton, Baker McKenzie
Don-Tobias Jol, Baker McKenzie
Ludmilla Maurer, Baker McKenzie

 

Event date
Thursday, 16 Nov 2023, 08:30 - 09:30
Breakout series

1.3 CRYPTO AS AN INCENTIVE: FROM ESOP TO VSOP TO COP

Join this enlightening session that sees our expert panel provide a beginner's guide to the dynamic realm of crypto assets and their emerging role as rewards and salaries, both within the crypto sector and across industries. Discover the compelling reasons behind companies' adoption of these innovative incentive structures.

This user-friendly and thought-provoking session will equip you with valuable knowledge about crypto assets as incentives and provide insights into the future landscape of employee compensation.

KEY LEARNING POINTS:

  • Crypto asset basics: Understand crypto assets with a user-friendly overview, covering terms like security tokens, utility tokens, exchange tokens, bitcoin, and NFTs, to grasp the essentials.
  • Taxation and compliance: Delve into taxation complexities, valuation methods, legal aspects, and regulatory considerations linked to crypto assets. Focus on Germany and the UK's regulatory landscapes and approaches for companies.
  • Future of crypto Incentives: Join a forward-looking discussion on crypto currencies as employee incentives, exploring implications and possibilities in innovative compensation methods.

 

CPE CREDIT HOURS: 1.0*

Field of study: Specialized Knowledge
Levels: O
Delivery method: Group live
Advanced preparation: None

CEP Continuing Education (CE) credit: 1.0 credits

Please visit our Continuing Education and Event Policies pages for more information.

Speaker/Author

Cathy Wears, CMS
Martin Friedberg, CMS

Event date
Thursday, 16 Nov 2023, 08:30 - 09:30
Topic
Breakout series
IN-PERSON CHAPTER EVENT
5 September 2023, 3 - 4pm BST
UK CHAPTER MEETING - 3 LOCATIONS
UK chapter

LOCATION: London, Manchester, Edinburgh

Trending now
UK and Channel Islands

Join us for an enlightening session that explores how UK companies utilize equity to incentivize their executives and broader workforce in today's global marketplace. Delve into the strategies, best practices, and innovative approaches employed by organizations to align executive compensation with corporate objectives and drive performance.

In this session, we will explore:

  • Equity to incentivise: How do UK companies currently use equity to incentivise their executives and broader workforce in a global marketplace?
  • The power of purpose: Purpose was a theme in both the GEO in-person and virtual conferences. What are companies doing to bring purpose to their plans?
  • Growing governance: From updates on clawback in the US and UK, to a new European pay transparency regime, there’s lots to catch up on.
     

5 September - London
12 September - Manchester
14 September - Edinburgh

ARTICLE
19 July 2023
CROWN ESTATE TRIPLES PAY OF CEO IN THREE YEARS TO NEARLY £1.6M
external article

SOURCE: The Guardian 

UK and Channel Islands

The article discusses the significant increase in CEO pay at the crown estate, an ancient portfolio of land and property in England and Wales. The current CEO, Dan Labbad, received almost £1.6 million last year, triple his pay in 2019, and far surpassing his predecessor's salary. The rise in compensation has raised concerns about the management of taxpayer funds and calls for reform to ensure the income from the crown estate benefits the nation appropriately.

ARTICLE
17 July 2023
U.S. CEO COMPENSATION ADVANTAGE GROWS VS. U.K. PEERS
external article

SOURCE: Harvard Law

UK and Channel Islands

The article examines the widening pay gap between CEOs in the S&P 500 and the U.K.'s FTSE 100 from 2018 to 2022. The disparity is primarily attributed to the influence of long-term incentive plans (LTIPs) and pay opportunity levels in S&P 500 companies. Median CEO pay for S&P 500 CEOs has notably increased compared to FTSE 100 CEOs during this period, despite a decrease in the gap in basic salary and bonuses when adjusted for market cap and revenue growth since 2019. Interestingly, both regions have witnessed declines in median vote support levels for say-on-pay proposals, indicating growing investor discontent with executive compensation, irrespective of differences in corporate performance.

David Edwards

David Edwards

David has extensive experience and expertise in corporate governance, share plans, and legal matters, David has been a valuable asset since joining RBS in 2011. As the Head of Share Plans at Natwest Group, David provides guidance on legal, tax, and regulatory aspects related to the bank's employee equity arrangements. His proficiency in implementing global equity plans, managing corporate actions, and ensuring share plan compliance makes him an invaluable addition.  

Julie

Julie Shepherd, FGE

Director - Share Plans
The Sage Group plc
United Kingdom

Class of 2019