Radford's Nina Xiao, who heads our Asia-Pacific office, explains in this Wall Street Journal article why some Silicon Valley technology firms are losing talent to Chinese competitors.
Radford's say-on-pay research is highlighted in The Seattle Times article recapping Microsoft's first shareholder meeting with CEO Satya Nadella.
The Seattle Times Microsoft Prio blog outlines the first shareholder meeting with Microsoft’s Satya Nadella at the helm. Radford’s research provides insight say-on-pay trends in the tech industry.
The San Diego U-T published its annual CEO compensation report. With CEO data focused on the local market, this article contains commentary from Radford's Ken Wechsler on the impact of say-on-pay.
Radford's Ken Wechsler provides commentary in the San Diego U-T's article on CEO-to-median employee pay ratio.
Please join us in welcoming Dan Coleman to our equity valuation services practice. Based in Chicago, Dan will serve as the practice's Midwest and Canadian market leader, assisting clients with the design, valuation, and accounting of equity award instruments.
Radford’s Scott Barton recently spoke with WorldatWork to share his thoughts on the growing complexity of sales compensation plan design, including pay-for-performance issues, managing multi-person deal, and handling incentives for products vs. services.
Radford's David Knopping and other leaders address executive compensation trends at a Corporate Directors Forum event.
Radford’s Ted Buyniski discusses the global implications of the SEC’s newly proposed CEO to worker pay ratio disclosure rules with The Wall Street Journal.
Radford's David Knopping recently connected with The Wall Street Journal to share his thoughts on compensation trends for key executives at venture-backed and pre-IPO technology companies amid new data pointing to higher pay for sales and technology function leaders.
With a number of layoffs planned in the next year at big pharma companies in both the US and Europe, GEN News connected with Radford's Linda Amuso to discuss the overall hiring environment at life sciences companies. Leveraging Radford's comprehensive database, Linda provided insights on the differing prospects for employees at small, mid- and large-sized firms.
Keeping with past tradition, the San Diego U-T published its annual CEO compensation report today. Inside you'll find the latest updates on pay trends in the region along with commentary from Radford's Ken Wechsler on the growing importance on Say-on-Pay votes.
Leveraging new data from Radford's Pre-IPO/Ventured-Backed Survey, The Wall Street Journal explores the shrinking compensation gap between private and public companies in Silicon Valley as the war for talent heats up.
Radford Associate Partner David Knopping provides commentary on the contrasting approaches used by ISS and Glass Lewis to develop peer groups when conducting pay for performance assessments. With key advisory firms revising their methodologies ahead of Say-on-Pay votes, companies are now racing to understand the implications of these policy changes.
Radford's Terry Adamson provides commentary in this article explaining market stock units.
In this contributed article, Radford's Ken Wechsler and Alexander Cwirko-Godycki discuss many of the important decision points executives and Boards of Directors face when developing a compensation philosophy.
Radford Associate Partner Brett Harsen provides commentary on the challenges faced by recently public companies as they seek to retain key employees after an IPO. Beyond compensation, companies should also plan ahead for post-offering management training, career path development and HR systems.
As mobile and social gaming grow in prominence, hiring in the sector is also gaining steam. In this Wall Street Journal story on the rising tide of gaming company investments, Radford provides new data on the hiring outlook for gaming and entertainment companies in the technology sector.
Radford Associate Partner Brett Harsen discusses the challenges of implementing global leveling systems for job titles and compensation on the heels of a new study showing more companies are moving to adopt such global standards.
Radford President Linda Amuso and other industry leaders discuss trends in executive compensation below the CEO level, addressing issues like internal pay equity, corporate culture and investor scrutiny of pay programs.
Radford Associate Partner Brett Harsen discusses the latest trends in equity compensation at pre-IPO firms in Silicon Valley, particularly the move by a few large companies to consider the use of restricted stock while still private.
Radford Partner Ted Buyniski discusses best practices in executive compensation.
Radford data is highlighted in this article about talent poaching among technology companies.
Radford Partner, Valuation Business Executive Terry Adamson is interviewed for Agenda's article regarding pay metrics.
Written by Radford Associate Partners Jon Burg and Brett Harsen for WorldatWork's Compensation Focus. The article examines lessons learned in the aftermath of the numerous underwater exchanges that took place in 2009, looking at both shareholder and employee responses to the programs.
Associate Partner Brett Harsen is interviewed for this front page San Jose Mercury News article that discusses the current state and future of stock option use by technology companies in Silicon Valley
Associate Partner Brett Harsen discusses how Risk Metrics' changing guidance caused some companies to cancel or revise their repricing plans
Associate Partner Jon Burg gives a consulting perspective of the current state of underwater exchange programs for The Recorder, a California legal publication
Associate Partners Jon Burg and Brett Harsen discuss how Boards can address underwater options in today's environment with this comprehensive by-lined article for Agenda
Associate Partner Brett Harsen is interviewed for this article discussing the growing number of employers that are allowing employees to exchange underwater options via underwater exchange programs
In this June issue of Human Resources Magazine, Hong Kong, regular contributor Associate Partner, Global Relationship Manager Marie Brinkman and Associate Partner David Knopping review the compensation strategies that companies should consider following reports of an economic uptick
Associate Partner Brett Harsen provides commentary for the Financial Times' online publication Agenda which discusses the expected increase in option exchanges this fall
In this Q&A article for NASPP's The NASPP Advisor Radford Partner, Valuation Business Executive Terry Adamson talks about how companies are currently approaching the process of valuing their employee stock options
Associate Partner, Global Relationship Manager Marie Brinkman discusses the difference between the current economic downturn and recessions in the past and how employers are focusing on retaining employees
In this by-lined article, regular contributor Associate Partner, Global Relationship Manager Marie Brinkman discusses the difference of the current economic downturn to recessions in the past and how employers are focusing on retaining employees
Associate Partner Brett Harsen is interviewed for this article that looks at companies that have proposed or completed plans to exchange underwater stock options in order to increase employees' chances of making a profit
Radford's latest research from its Quarterly Summary of Industry Trends report is cited in this article discussing the future of the technology industry's workforce
Radford's Associate Partner Brett Harsen is quoted in this article discussing the practice of repricing stock options
Radford's quarterly summary of industry trends report revealed the drastic measures companies are making in response to the economic downturn
Associate Partner Brett Harsen is interviewed for this Wall Street Journal article discussing how companies are executing their own bailouts for holders of worthless stock options
Fidelity's StockSense newsletter recently spoke with Radford Partner Terry Adamson and Associate Partner Brett Harsen for their insights into how companies should go about structuring an underwater options exchange program
Radford Partner Terry Adamson talks about the increasing number of companies considering underwater exchange programs
Associate Partner Brett Harsen is quoted in this front page article discussing falling stock prices in Silicon Valley
Radford data is included in this story about underwater stock options
Associate Partner Brett Harsen is interviewed for this Wall Street Journal article discussing shareholders' role in stock option repricings and exchanges
Associate Partner Marie Brinkman and Aon Consulting's Principal Consultant Rick Payne author this feature cover story discussing retention strategies for today's environment in Asia
Radford Founder John Radford is interviewed for a The Wall Street Journal article discussing the steps companies are taking to reward employees during these uncertain economic times
Radford's Associate Partner Brett Harsen and Partner Terry Adamson discuss the three equity exchange programs that have gained ground, in light of underwater options
Radford Partner Ed Speidel is interviewed for a section of IOMA's annual report entitled, IOMA's Complete Guide to Best Practices in Pay for Performance, discussing the importance of creating successful CD&As
Radford Partners Ted Buyniski and Ed Speidel, and Associate Partner Robert Surdel discuss CEO succession and compensation design in this feature story
Associate Partner Brett Harsen is interviewed for this article discussing underwater options and repricings
Radford Founder Steve Radford is interviewed for KQED's "Forum" segment on the trials, tribulations and joys of starting a business with a family member
Radford Partner Ed Speidel is interviewed for this article on how companies have had to comply with SEC regulations
Insurance Daily announces Linda E. Amuso's appointment to President
Associate Partner Marie Brinkman discusses the major initiatives that companies in Asia are deploying to attract and retain workers in this by-lined front page feature
Radford Partner Edward Speidel is quoted in this article about the challenges that boardrooms will face this year
Edward Speidel and Robert Surdel examine governance practices and current trends in outside director compensation
This by-lined article by Associate Partner Tim Brown reveals the correlation between the number of ratings used in the pay-for-performance process and the actual size of the award
News from Radford Advisory Services' Equity Trends Analysis is included in this NASPP newsletter article about stock option trends
Data from Radford's Quarterly Summary of Industry Trends Report is used in this Workspan article about technology salary budgets
In this article regarding innovative transferable stock option programs, San Jose Mercury News features Zions Bancorporation's creative strategy in dealing with FAS 123(R) regulations as detailed in our latest webcast entitled, The Post-FAS 123(R) Frontiers of Equity Design - A Conversation with Google and Zions Bank
Radford Partner Edward Speidel is interviewed in this Employee Benefits News article about the challenges of creating executive compensation packages
Radford Partner Ted Buyniski is interviewed for this feature cover story on best practices in compensation management
In this feature on performance-based compensation, Employee Benefit News magazine interviews Linda E. Amuso, senior vice president, for her thoughts on the trend toward variable pay plans as a means to effectively motivate and reward employees
Radford Partner Ted Buyniski offers commentary on Google's plans to allow employees to sell their stock options through an online auction
Radford Partner Ted Buyniski offers commentary on Google's plans to allow employees to sell their stock options through an online auction
Radford Partner Ted Buyniski offers commentary on Google's plans to allow employees to sell their stock options through an online auction
In an interview with The Scientist magazine, Radford Founder John Radford talks about what bonuses will look like in 2006
In this two-page feature, John and Steve Radford talk about founding a family business and keeping it growing for 30 years
Data for Radford's Overall Practices Report is used in this article about the use of restricted stock vs. full value shares
President Linda E. Amuso provides commentary for this article about companies reassessing stock option grants
President Linda E. Amuso is interviewed for this article about the revitalized technology market
Radford's Q2 Quarterly Summary of Industry Trends report data is used for this article about new turnover figures at technology companies
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The wave of tech companies that went public in the 1990s with an emphasis on employee equity are seeing more and more of their employees reach retirement age. Against that backdrop, companies are facing a tough decision about what to do about unvested shares — and the decision isn't an easy one.
Biotech companies have higher salary increases compared to the general life sciences sector and have increased their target cash positioning. This has allowed companies to keep voluntary turnover at bay and attract new talent to fuel their rapid growth. Our article examines the latest data for the red hot biotech industry.
How fierce is the competition for technical talent? Well, our latest research shows that technology companies now set the bar higher for engineers than executives, targeting pay levels above the market 50th percentile for technical roles more often than for executive officers. Read our latest report to learn more.
The SEC has issued a long-awaited rules proposal on how companies should disclose the alignment between executive pay realized in a given year relative to total shareholder return. We expect the proposed rules to have special implications for our clients in the technology and life sciences sectors.
As corporate valuations climb, so too does the value of unvested equity awards. This makes it harder to recruit talent and drives demand for larger and larger new-hire equity grants. In our latest article, we unearth a little known pay metric to highlight the dramatic uplift in new-hire equity award sizes over the past five years.
Our recent article on sales force turnover at software companies turned a few heads and prompted a number of interesting questions from readers. With those inquiries in mind, we decided to dig deeper and explore the potential impact of sales rep turnover on revenue goals, as well as turnover rates across key US regions.
Most companies have sales commission accelerators in place. However, few are well-equipped to know if their accelerators are optimized to meet business needs. In this article, we explain how a data-driven approach can be used to design accelerator programs in-tune with both market trends and sales team performance.
Voluntary turnover among sales professionals at technology firms is rising, with the highest rates at software companies. A number of factors are contributing to the increase: an improving job market, demand for cloud-based selling experience, and a growing field of innovative products. HR managers shouldn't feel defenseless, though. Find out what you can do to stem the turnover tide.
Valuations for life sciences companies continue to soar, boosting stock prices and outside investment. For employees, the good news does not end there— annual incentive payouts are also on the rise. However, as above-target payouts become more prevalent, companies may want to consider raising the bar.
Our clients in the technology and life sciences sectors share many traits in common: they are innovative, they grow fast, and they need to be flexible. These traits demand a new approach to global job leveling, one that easily scales as companies mature and also evolves as firms add or acquire new types of talent.
The number of shareholder proposals calling for bans on the acceleration of equity after a change-in-control is on the rise. So, too, is shareholder support for these initiatives. Radford's recent survey of severance practices at technology and life sciences companies shows that equity acceleration is still the norm, but policies in this area are slowly evolving.
When the Swiss Bank decided it would no longer tie the Swiss Franc (CHF) to the Euro, the value of the Swiss Franc skyrocketed, immediately impacting equity markets and foreign exchange traders. However, bankers were not the only ones affected by this move. The results of your global relative TSR plan could change as well. To find out why, read our latest expert insight.
Global HR administration is hard work, especially when it comes to navigating the labyrinth of rules and regulations governing 13th and 14th month bonuses in Asia, Europe and Latin America. Fortunately, our colleagues in Aon Hewitt's Legislative Reporting practice have just published a fantastic summary of the global requirements you need to know.
Business leaders must continuously balance the need to drive profitable growth against the real costs of their sales compensation plan. Yet, few companies have an effective roadmap for evaluating the strengths and weaknesses of their plan on an annual basis. Radford's new Sales Incentive Plan Health Check tackles this challenge across a number of critical plan design issues.
A new digital economy has arrived in Germany, and its impacting every business sectors. Consequently, engineers are in high demand, but a shortage of talent is forcing companies to recruit from outside markets. Big differences in total compensation levels and pay practices across Europe, the United States and Asia mean German companies need to up their global benchmarking game.
Radford's 2014 Severance & Change-in-Control Practices Survey provides detailed information on how technology companies treat involuntary termination and change-in-control (CIC) scenarios on an organization-wide basis. At their core, severance programs did not change dramatically since our 2011 survey; however, we still observed several meaningful trends worth noting.
Radford's 2014 Severance & Change-in-Control Practices Survey provides detailed information on how life sciences companies treat involuntary termination and change-in-control (CIC) scenarios on an organization-wide basis. At their core, severance programs did not change dramatically since our 2011 survey; however, we still observed several meaningful trends worth noting.
In the January 2015 issue of WorldatWork's Sales Compensation Focus newsletter, Radford's Scott Barton discusses how key business metrics can be used to determine if your sales incentive plans are properly designed and functioning at maximum efficiency. Measuring the rate of change in sales costs vs. revenue growth is a simple step that can open up a world of insight.
Depressed by Western economic sanctions and a sharp drop in the price of crude oil, Russia's economy and currency have weakened considerably in the past few months. This dramatic change is prompting multi-national companies to consider quick adjustments to pay programs for employees in Russia. We recently surveyed clients to see how they are tackling this issue.
This year, ISS is adding a number of factors to how it evaluates equity pay plan proposals beyond the cost of plan administration. Technology and life sciences companies, which often rely more heavily on equity for their overall pay mix at all levels of the organization, should be aware of how ISS's new scorecard approach could impact a favorable proxy vote.
The adoption of mandatory post-vest holding requirements is on the rise, yet disclosures relating to illiquidity discounts associated with this governance practice are often lacking. Companies that fail to appropriately address the methods and assumptions used to quantify discounts could soon face more scrutiny.
Companies often adopt mandatory post-vest holding requirements to achieve governance benefits, including the creation of a pathway for executives to meet ownership guidelines. However, holding periods, when designed to meet accounting standards, have significant potential to deliver valuation savings.
Although ownership guidelines and holding periods are increasingly common, few companies understand and take advantage of the full breadth of governance benefits associated with holding requirements. From building an ownership culture to enforcing clawbacks, there's more than meets the eye.
Mandatory post-vest holding requirements are a rare find; they allow companies to maximize their investment in equity compensation while being a good corporate citizen at the same time. From numerous governance benefits to reduced accounting costs, holding periods are worth the investment.
It's common knowledge that promotions lead to engaged employees. And while promotion rates at technology firms in the US are up, the same can't be said everywhere. New research from Radford explores promotion practices in China, India, the UK and the US.
Although a majority of life sciences companies still have salary structures, it's no secret that the use of formal salary systems is on the decline. New research from Radford shows this trend in action, but also points to why it could start to slow down soon.
Performance-based equity plans with Relative TSR metrics arrived in Europe well before they showed up in the US. As plan design practices begin to mature in the US market, it's time to take a fresh look at what we can learn from the European experience.
When it comes to benchmarking pay, India is not an easy market. With shifting labor pools, highly uneven annual increases in fixed compensation, and stark differences in pay between local firms and multinationals, getting rewards right in India is a big challenge.
For private technology and life sciences companies on the path to an IPO, does it matter when you hire a CFO? When it comes to their pay, the surprising answer is that it all depends on how you look at it. Read our latest article to find out why.
In this report, Radford explores 2014 Say-on-Pay voting results for US technology companies, including overall success rates, the impact of negative ISS recommendations, and results by sub-industry. We also share new research on ownership guidelines, clawback policies and hedging policies at leading technology firms.
In this report, Radford explores 2014 Say-on-Pay voting results for US life sciences companies, including overall success rates, the impact of negative ISS recommendations, and results by sub-industry. We also share new research on ownership guidelines, clawback policies and hedging policies at leading life sciences firms.
While companies face intense outside pressure to reduce the costs of administering broad-based equity plans, new research from Radford indicates that high-performing biopharmaceutical companies are actually aggressive users of equity, both in terms of grant values and participation rates.
In this article, Radford's team in Europe conducts an in-depth, side-by-side comparison of big pharma equity practices in Europe and the US. The results reveal a few important similarities in equity strategy, and several striking differences, all of which point to new viewpoints on how best to attract and retain talent across the Atlantic with equity.
For more than 10 years, the pendulum of equity compensation strategy has swung firmly in the direction of RSUs and away from stock options. Now it's time to ask a few hard questions: Is this shift in strategy working, and who wins and loses?
In April, we wrote about how Google's stock split pushed the S&P 500 index from 500 to 501 component stocks. Well, it's happened again; the S&P 500 now has 502 component stocks. The implications for performance-based equity awards with an indexed relative total shareholder return metrics are significant. Read our Expert Insight to learn why.
When it comes to the race for top technology sector talent, we live in highly unusual times. The competition for talent between companies is increasingly fierce in every region of the globe, and our latest Radford Trends Survey data reveals why.
Base salaries are often viewed as a matter of remuneration "hygiene" by corporate leaders. Many people assume salaries always move at a slow and steady rate. This isn't always true, and as a result, many companies miss big opportunities to drive engagement.
It might be hard to fathom in a world so often dominated by complex legalese, but taking a proactive, marketing-minded approach to communicating your executive compensation program is increasingly the safest way to travel in a rocky compensation governance landscape.
There's more than one way to calculate percentile rank, and the methodology choices you make could have a big impact on the results of your next performance-based equity grant with relative TSR metrics. Read this article to find out why.
Performance-based equity awards with relative TSR metrics have a simple mission: to align pay and performance. However, that doesn't mean the plans themselves are simple. This articles explores common design oversights and creative fixes.
Does communication make a difference? We set out to find answers by surveying our clients about the connection between effective communication of performance-based equity awards with relative TSR metrics and actual performance results.
As the popularity of performance-based equity awards with relative TSR metrics surges, regulators, shareholders and proxy advisors are sure to pay closer and closer attention to plan disclosures. This article examines key disclosure requirements.
On July 17, ISS published its annual policy survey covering key issues for the upcoming proxy season. Their survey seeks to solicit input on a range of corporate governance and compensation issues, and often strongly foreshadows future policy updates.
Leveraging Radford's most recent Quarterly Trends Survey, our team in Europe examines how companies around the globe use performance ratings to determine the allocation of annual salary increase budgets.
As a growing number of small and mid-sized European biopharmaceutical firms introduce or consider performance shares, it's time to re-examine market trends, including plan prevalence and performance metric selection.
The increasing prevalence of restricted stock and performance shares are changing the way stock awards are communicated. In this EMEA Market Insights article we explore what is being communicated around equity awards and the method to do so.
As the European biotech market continues its revival, more companies are focusing on getting their "compensation house" in order. In this EMEA Market Insights article we examine the factors to consider when evaluating which equity plan is right for your company.
As the global competition for technology sector talent reaches feverish heights, meaningful (and often overlooked) opportunities for labor cost differentiation exist within countries. This is particularly true in the UK, where regional differentials in pay for like technology jobs can easily range by +/-10%.
Any experienced compensation professional will tell you, selecting the right market for talent (i.e., industry, region, and/or specific comparator group) is usually the first and last step in determining the success or failure of a meaningful compensation assessment. This is particularly true in countries like the UK, which feature global talent hubs like London.
As evidenced by numerous media headlines this year, when it comes to adding or removing performance ratings, there is no right answer. Nevertheless, a growing number of companies are considering a move away from performance ratings and/or ranking. Before taking the plunge at your company, consider these five issues.
In the months leading up to an initial public offering (IPO), technology and life sciences companies often undertake a radical reimagining of their equity compensation programs. This process usually includes the adoption of new equity incentive and employee stock purchase plans.
How do you measure the health of an equity compensation program? More importantly, how to do you take such measurements while transitioning from private to public? The answer is overhang, but it comes in many flavors and changes dramatically after an initial public offering (IPO).
Let's imagine you have a high-performing sales account executive who needs to take an approved leave of absence (LOA); what's the right approach for handling their sales quota and sales credits while they are away? You need a solid policy that's both reasonable and legal.
Every year, bonus season brings with it an opportunity to explore cash incentive practices across the European technology sector. In this EMEA Market Insights article we explore the prevalence of various bonus plan types across western Europe, as well as expected funding levels for 2014.
The life sciences sector undergoes constant change, particularly in the vast EMEA region where regulatory and market factors are as diverse as they get. In this EMEA Market Insights article we examine how sales compensation models are changing to keep pace with an increasingly complex sales environment.
Pop quiz: How many stocks are included in the S&P 500? How about the NASDAQ 100? It might seem obvious at first, but as of Wednesday, April 2, 2014, the answers are 501 and 101 respectively. As a result, life just got slightly more complex for everyone using performance equity awards with an indexed relative total shareholder return metric. Read our Expert Insight to learn why.
Seeking to address gray areas in the expensing of performance awards, the Financial Accounting Standard Board's ("FASB") Emerging Issues Task Force ("EITF") issued new guidance on March 13, 2014 covering situations where a performance target can be achieved after an employee provides the requisite service. The new ruling should simplify US GAAP expensing, but remains at odds with commentary from IFRS on the same topic.
Setting an appropriate pay mix strategy for your sales compensation plan — the ratio of target total cash compensation that is attributed to base salary vs. target incentives — is a common pain point for growing companies aiming to maintain competitive sales compensation structures. This article explores common pitfalls and steps to take to address issues.
On February 21, 2014, House Ways and Means Committee Chairman Dave Camp introduced a discussion draft/blueprint of legislation (Tax Reform Act of 2014) that would cover a wide range of tax areas. It is very unlikely that all the items in the discussion draft will make their way into legislation, but there are several items in the discussion draft related to executive compensation worth monitoring.
In a year when global employee turnover rates held steady across the technology sector, Radford's EMEA team dug deeper to look at turnover rates by region; discovering that turnover in Europe lagged well behind the rest of the globe.
As more and more life sciences companies consider the adoption of full-value share awards and performance-based equity, new Radford research explores how equity strategy shifts by corporate stage of development.
Institutional Shareholder Services (ISS) recently released an updated set of industry burn rate caps for 2014. The new caps, effective for shareholder meetings on or after February 1, cover both Russell 3000 and non-Russell 3000 companies in all industries.
Institutional Shareholder Services (ISS) has announced several important changes to its US and European policies governing executive compensation. Among other results, these changes could alter future testing outcomes under the CEO pay-for-performance assessment system currently used by ISS.
On September 18, 2013, the SEC Commission voted, by a 3 to 2 margin, to move forward with proposed rules governing the disclosure of CEO to worker pay ratios under the Dodd-Frank Act. The proposed rules now enter a public comment period, and move companies much closer to potential disclosures in this area.
Radford's compensation consulting team examines 2013 Say-on-Pay voting results for US technology sector companies, including overall proposal passage rates, the impact of negative recommendations from ISS, and results by sub-industry.
Radford's compensation consulting team examines 2013 Say-on-Pay voting results for US life sciences sector companies, including overall proposal passage rates, the impact of negative recommendations from ISS, and results by sub-industry.
A continued focus on key governance issues like pay-for-performance alignment and Say-on-Pay results has dramatically altered the environment in which we all operate, and companies will need to adjust accordingly. With proxy season 2013 arriving, Radford examines the current mix of internal and external issues influencing CD&A disclosure practices.
The global economy continues to struggle, weighed down by the faltering European recovery. Workforce trends data from Radford supports this outlook, with voluntary turnover remaining low, and constrained salary increase data.
Institutional Shareholder Services (ISS) recently released an updated set of industry burn rate caps for 2013. The new caps, effective for shareholder meetings on or after February 1, cover both Russell 3000 and non-Russell 3000 companies in all industries
Institutional Shareholder Services (ISS) recently announced significant changes to the peer group selection process it uses for CEO pay-for-performance assessments. Typically, an announcement of this nature requires careful and measured consideration. However, in this case, there is an added sense of urgency, as ISS is providing companies with the opportunity to pre-submit their FY 2012 peer group.
Institutional Shareholder Services (ISS) has announced several potential changes to its US policies governing recommendations for Management Say-on-Pay proposals. The new policies, if implemented, could serve to significantly alter future testing outcomes under the CEO pay-for-performance assessment system introduced by ISS last year.
In response to the SEC's publication of final regulations governing Compensation Committee and compensation adviser independence, the Nasdaq market published proposed listing requirements to address the new SEC rules. With proposed requirements now available, companies can move one step closer to implementing their own independence policies.
In response to the SEC's publication of final regulations governing Compensation Committee and compensation adviser independence, the NYSE market published proposed listing requirements to address the new SEC rules. With proposed requirements now available, companies can move one step closer to implementing their own independence policies.
This edition of Radford's Market Insight: August 2012 Sales Compensation Trends looks at the prevalence of car plans and the high voluntary turnover among the sales force.
Despite positive global growth in the beginning of 2012, growth estimates for 2012 have been revised slightly downwards. Read more about reward implications in Radford's Market Insight: July 2012 Trends.
At the end of June, the SEC released final rules under Section 952 of the Dodd-Frank Act pertaining to Compensation Committee and compensation adviser independence. These new standards will govern the means by which Boards maintain Committee member independence, manage potential conflicts of interests and assess the impartiality of key advisers.
Responding to Say-on-Pay criticism from leading proxy advisory firms is not a one-size-fits-all endeavor. Effective responses to Say-on-Pay challenges include a mixed bag of aggressive and defensive tactics all aimed at producing a single, holistic argument in support of company practices.
While there are no shortcuts for avoiding several days of hard work when proxy advisors send bad news your way, responding to their criticism through additional SEC disclosures and direct shareholder engagement can be a focused process if companies mobilize the right forces at the right time in the right manner.
When President Obama signed the JOBS Act into law on April 5, his signature set in motion one of the most significant overhauls of the US initial public offering (IPO) system in recent history. With strong bipartisan support, this new bill creates a more streamlined approach for on-ramping companies through the IPO pipeline.
Voluntary turnover remains high in the sales force and accurate quota setting is key.
Despite positive signs, the European economy remains exposed to downside risks during 2012 with unemployment continuing to rise
As a leading reward consultancy in the Technology and Life Science sectors, Radford monitors the main trends for key jobs in the Technology sector. With reference to our compensation data from nearly 340 technology companies in Germany we present a sample of our data which may be of interest to HR and Reward managers across the sector.
Growth estimates for 2012 have been revised slightly downwards. Read more about reward implications in this quarter's Radford Market Insight.
On the heels of making voting policy changes for 2012, Institutional Shareholder Services (ISS) also announced significant updates to its process for assessing the alignment of CEO pay and performance. Having reviewed the changes, Radford Consulting shares its view on how the tests are built and how they can be modeled.
Institutional Shareholder Services (ISS) recently released an updated set of industry burn rate caps for 2012. The new caps, effective for shareholder meetings on or after February 1, cover both Russell 3000 and non-Russell 3000 companies in all industries.
2012 is upon us and brings with it important decisions on remuneration levels for the coming year. To help you, we have a portfolio of tools at your disposal to assess remuneration levels, levelling, and pay mix. This Market Insight includes examples of how Radford tools can help you make key decisions and cut costs in your organization.
As the economic recovery remains slow, structuring incentive plans and accurately measuring performance is key.
Across Europe, fears of a mild recession dampen 2012 forecasts.
We have had a number of organisations ask us about new-hire profiles. This EMEA Market Insights sheds some light on this issue.
Institutional Shareholder Services (ISS) has released its final set of corporate governance policies for 2012, and the latest round of updates focus on fine-tuning CEO pay-for-performance tests and incorporating say-on-pay results into future recommendations.
Employee turnover varies significantly by region while the majority of sales staff is failing to meet quotas. Read how your peers are tackling their sales compensation programmes.
Radford's Market Insight: Q3 2011 Trends discusses reward implications in response to the stuttering global economic recovery.
In this Radford Review, the Radford Consulting team addresses lessons from the last proxy season in great detail, examining overall say-on-pay voting trends and specific results in the high technology and life sciences sectors.
Sales compensation issues are at the top of the reward agenda for many organisations. Read how your peers are tackling their sales compensation programmes.
Salary increases in advanced economies remain subdued, whilst internships continue to be implemented sparingly outside of the US.
For budget-constrained startup companies, wherein payroll is often the single largest expense line, it is imperative that limited resources like cash and company shares be managed effectively. This Radford Review is meant to provide a compensation roadmap for private, venture-backed companies oriented toward a sale of the company or for an initial public offering (IPO), and is based on Radford's extensive consulting experience assisting clients as they navigate the startup path.
This article examines several executive compensation fundamentals for pre-IPO firms in the technology and life sciences industries — topics including the formation of an over-arching compensation philosophy, developing peer groups, and how best to balance compensation risks and rewards ahead of an IPO. Most importantly, we take a long-term view toward each of these issues, focusing specifically on the transitional needs of private companies as they face increasingly overextended run-ups to initial public offerings.
Valuing stock options at pre-IPO and recently public companies is difficult task, and it involves considering a large number of diverse valuation methodologies. While mature companies have years of actual employee behavior to draw on when determining option valuation inputs, pre-IPO and newly public companies have no such data and are at distinct disadvantage as a result. To address these issues, we consider the pros and cons of several potential option valuation methodologies, with a particular eye towards expected life and expected volatility.
Sales compensation issues are at the top of the reward agenda for many organisations. Read how your peers are tackling their sales compensation programmes.
Voluntary turnover in the technology sector has increased over the last quarter.
This Radford Alert provides a summary of early ISS voting recommendations, discusses some of the unique say-on-pay challenges faced by technology and life sciences companies, and considers the various pay-for-performance "cures" currently provided by ISS.
This Radford Review focuses on the near-term considerations for companies approaching their first shareholder say on pay voting cycle, and the potential changes set into motion in the wake of those votes.
The SEC has adopted final rules on say on pay (SOP) and the frequency of SOP shareholder votes. A non-binding advisory vote on executive compensation is required by the Dodd-Frank Act. Companies must also include a proposal asking shareholders to vote on how often they would like to vote on SOP. Choices are annual, every other year or once every three years. This Radford Alert reviews the rules and their implications.
This Radford White Paper examines current trends in performance-based equity among larger biotechnology firms, provides an examination of the critical factors in adopting performance-based plans and presents Radford's perspective on the issues that must be addressed to maximize the effectiveness of these plans within a total rewards strategy.
In follow-up to the November release of its 2011 Policy Updates, Institutional Shareholder Services (ISS) issued its updated burn rate tables. This Radford Alert provides the new burn rates for technology and life sciences companies.
Institutional Shareholder Services, Inc. (ISS) released its US Corporate Governance Policy – 2011 Updates. The updates related to ISS's policies on Management Say on Pay (MSOP) proposal frequency, Problematic Pay Practices policy, and equity-based compensation plans are summarized within this Radford Alert.
Radford research shows that focusing solely on the CEO pay ratio itself can cloud the reality of the business and industry drivers behind it. This white paper covers the results of our research and provides companies a set of guidelines for beginning the process of calculating and communicating the ratio.
This Radford Alert covers the SEC's recently released proposed regulations covering Say-on-Pay legislation passed as part of the Dodd-Frank act earlier this year.
The SEC has announced its schedule for implementing the Dodd-Frank legislation. To the surprise of many, most of the new rules apparently will not be in place in time for the 2011 proxy season.
With the passage of some of the most sweeping financial reform legislation since the Great Depression - in the form of the Dodd-Frank bill - the rules surrounding executive compensation and governance have become more pervasive and concrete.
With the Senate's May 20, 2010, passage of executive compensation and corporate governance reform legislation, two separate but similar bills are in front of Congress. This Alert compares the two pieces of legislation, and shares Radford's observation on the impact the reforms could have on companies.
On March 17, RiskMetrics Group announced a new development in their evaluation of public companies' governance and compensation arrangements. The new Governance Risk Indicators (GRId) has been designed both to apply much more broadly and to drill into considerably more detail on key areas of concern than the current Governance Quotient (CGQ).
In the fall of 2009, Radford analyzed proxy data for the 48 largest technology and 52 largest life sciences companies (by revenue) headquartered in New England to examine executive pay practices. This summary covers the highlights of those findings, as well as comparisons to previous fiscal year pay practices.
In the fall of 2009, Radford analyzed proxy data for 100 of the largest technology companies headquartered in Silicon Valley to examine executive pay increases. This executive summary covers the highlights of those findings, as well as comparisons to previous fiscal year pay practices.
On December 16, 2009 the Securities Exchange Commission (SEC) expanded the disclosure rules it originally laid down several years ago, adopting several new regulations related to executive compensation and board structure. This Radford Alert provides an overview of the new rules, as well as our perspective on the impact to clients.
On November 19, 2009, proxy advisor Risk Metrics Group (RMG), formerly Institutional Shareholder Services, released its annual US Corporate Governance Policy Update, which included significant changes in target equity burn rates for companies in the technology and life sciences sectors, as well as revisions to its methods for evaluating certain executive pay practices, and links between that pay and company performance. This Radford Alert provides a brief overview of RMG's policy changes, as well as details on the new equity burn rate targets.
There is a wealth of resources already available adddressing the current underwater stock option environment. Most of this information, including Radford's own ongoing research includes an array of information on our Exchange Portal, focuses on offering an exchange program to employees that allow them to tender their underwater optinos for a specified lower number of at-the-money replacement options. As challenging as designign the tendor offer may be, the subsequent accounting needs equal attention. This summary provides a roadmap for determning the appropriate treatment of modified awrds and associated incremental expense.
Continuing a multi-year effort to shed light into public company compensation program decision-making, the Security and Exchange Commission (SEC) has announced proposed amendments to its existing compensation disclosure rules. If adopted, these changes will go into effect in next year's proxy. These proposed changes are being announced as the SEC is stepping up its review of company CD&As, and enforcement of the controls set down in the CD&A regulations. This Radford Alert provides a brief overview of the proposed changes, as well as the issues the SEC is scrutinizing within recently filed CD&As.
The United States House of Representatives passed H.R. 1664, which clarifies the compensation restrictions under the Emergency Economic Stabilization Act of 2008, dealing specifically with executive (and other) compensation. This Alert highlights the core aspects of the bill.
Companies are considering accelerating vesting of time-based and underwater stock options to take the benefit of moving forward future stock option comepnsation expense into the current reporting period.
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