At this point it was agreed that executive performance targets should be expanded.
He says that executive compensation has little relation to executive performance: inspired managers do it for love.
The employee-shareholder proposal comes as the company has been lowering the bar for executive performance pay.
John Long, a retail strategist at the consulting firm Kurt Salmon, said the improving economy made companies assess results, and executive performance, strictly.
The impresarios at C-Span deemed a single numerical figure too crude a measure for capturing something as complex as executive performance.
They complain that boards tend to be focused more on avoiding legal problems than on "formulating of company strategy, identifying risks, and evaluating executive performance".
Without options' preferential treatment, more companies may decide that other types of compensation, like profit sharing or outright stock grants, serve as more effective motivators of executive performance.
After a shareholder revolt in 2012, the company replaced it with a new scheme, called the executive performance share plan, in 2013.
It's obviously bad form at this point to say anything good about Wall Street executives, but if preserving shareholder value is still a criterion for evaluating executive performance, there's little doubt that Thain did a bonus-worthy job.
While the majority of boards are quick to voice their support for sustainability, when it gets down to the nitty-gritty details of setting specific goals or connecting sustainability to executive performance, their enthusiasm evaporates.
Fall is one of the busiest times of the year in our business because companies are assessing executive performance, which will determine year-end bonuses, and are starting their planning cycle for the following year.
