DATE PUBLISHED: OCTOBER 11, 2023
Investor scrutiny of executive “golden parachutes” is on the rise, alongside an increase in the average value of such executive exit packages. Amid challenging economic conditions, shareholders and corporate governance advocates are showing increased interest in curbing excessive CEO and executive financial windfalls upon termination.
In this report, ISS Corporate Solutions found that the third most prevalent shareholder proposal by count this year is “Submit Severance Agreements (Change-in-Control) to a Shareholder Vote”. This type of proposal has been increasingly cropping up on companies’ proxy ballots and a handful have even won majority support. There could be more to come.
