What have we been up to?
In the first half of this year, Egan Associates has been asked to consider a significant array of strategic reward challenges arising from Boards facing shareholder opposition to their remuneration practices. The work has included:
- Assisting Boards in responding to feedback from major shareholders and proxy advisers;
- Assisting organisations in preparation for their initial public offering;
- Assisting private equity in setting reward strategies following the acquisition of private companies or business groups previously within listed public company groups;
- Advising on the implications of substantial restructure and asset divestment and acquisitions on executive remuneration structures;
- Advising international subsidiaries on their reward alignment with comparators which are listed public companies in Australia;
- Advising high-growth private companies in the development of employee share plans and incentive programs;
- Working with resources companies below the top 500 and in the top 20 of the ASX addressing a myriad of challenges in both attracting, retaining and incentivising staff critical to either their operations, their exploration program or their resource development initiatives;
- Advising organisations on setting common executive reward frameworks following a merger of interests;
- Advising companies which received their “first strike” on their remuneration report in 2011 on addressing their reward framework and/or levels of fixed remuneration and criteria for performance pay awards;
- Assisting companies with their shareholder communications and the transparency of reporting their executive and director remuneration policies and outcomes for incorporation in their 2012 Remuneration Report;
- Advising government enterprises on meeting reward challenges when competing with the private sector for a proportion of their key leadership or technical staff;
- Undertaking the normal annual reviews in a setting where the CPI has dramatically fallen, unemployment remains static and there are clear and substantial sector differences in the movement of workforce pay adjustments.
We have continued our Board evaluation work and become engaged in Board effectiveness reviews in both the government and listed company market. In response to the time constraints and geographic spread of directors, we have developed methodologies to supplement one-on-one engagement, enabling directors to participate remotely in these reviews.