Thoughtful Pay Alerts

SEC Adopts New Rules for “Pay Versus Performance” Disclosure Requirement

Download a pdf of this article » (This Thoughtful Pay Alert has been updated to revise the table on page 2) The SEC has taken another significant stride towards completing its executive compensation-related rulemaking required by the Dodd-Frank Wall Street Reform and Consumer Protection Act. On August 25, 2022, the SEC adopted a new rule to implement the Dodd-Frank Act “pay-versus-performance”...Read More

Changes to GICS Code Classification System to Take Effect in 2023

Download a pdf of this article » Earlier this year, S&P Dow Jones Indices and MSCI, Inc. announced limited changes to the Global Industry Classification Standard (“GICS”) structure to take place in March 2023. These changes will involve reclassifying companies across five GICS sectors and likely affect many Internet and e-commerce companies, including such companies as Block (formerly...Read More

ISS Issues Mid-Year Reminder about Updating Compensation Peer Group

Download a pdf of this article » Institutional Shareholder Services (“ISS”) has issued its annual mid-year reminder inviting companies to update their self-constructed compensation peer groups for consideration as part of its review of their executive compensation program in connection with Annual Meetings of Shareholders to be held during the remainder of 2022. ISS considers a company’s...Read More

SEC Mulls Changes to Proposed “Pay Versus Performance” Disclosure Rules

Download a pdf of this article » The Securities and Exchange Commission has taken another step towards completing the executive compensation-related rulemaking triggered almost 12 years ago by the Dodd-Frank Act. In January 2022, the SEC announced that it was reopening the comment period on rules it originally proposed in 2015 (the “Proposed Rules”) to satisfy new Section 14(i) of the...Read More

California Courts Invalidate Board Diversity Laws; State to Appeal

Download a pdf of this article » In the past six weeks, two separate Superior Courts in Los Angeles County have ruled that recently-adopted California laws mandating minimum quotas for racially and gender diverse directors on the boards of public companies headquartered in California are unconstitutional. On April 1, 2022, the L.A. County Superior Court granted plaintiffs’ motion for summary...Read More