The Challenge : The Federal Government often appoints part-time experts to various regulatory panels. It also seeks to appoint prominent individuals to positions in international consortia dealing with global matters, where G20 nations may have a specific interest. How these experts ought to be remunerated is a question that Egan Associates has been asked to answer on several occasions.
In a recent example advice was sought by Government on the appropriate remuneration levels for the chairman and directors of a ‘new horizon‘ initiative with far reaching implications globally and nationally. Significant technical expertise was sought as well as experience and perspective ranging across many human, environmental, technology, commercial and resource matters.
Clearly the obligations and roles in this situation are reflective of an emerging rather than a long established organisation. The Board will, therefore, often find themselves engaged in a wide variety of resourcing and related issues that are not common among well established entities.
Egan Associates added insight to the practices extant in some 90 relevant organisations representing data on over 350 Directors and provided a framework that encompassed issues including:
- appropriate per diems
- ratios of chairman to director’s fees
- level of fees for co-opted experts
- role of committees and panels
- fee arrangements for internationally sourced advisors
The Outcome : The organisation was able to use this framework in the recruitment of appropriately talented individuals for these roles.