The principles around gender pay equity sound basic: men and women should receive the same amount of pay for equal or similar work. However, when examining the California Fair Pay Act— one of many pieces of equal pay legislation that has swept the globe— it turns out that the implementation of this idea is anything but simple.
Published: November 2018
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Employee Stock Purchase Plans are gaining in popularity, however, the valuation techniques used to derive accounting fair values can be complex and often misunderstood. Fortunately, with a better understanding of the valuation mechanics, there are ways to more accurately value ESPPs that also reduce the expense.
The CEO pay ratio rule allows three types of employee exemptions from calculating the pay of the median employee. With the first year of disclosures mostly behind us, we take a close look at how these exemptions were used and whether they proved beneficial for companies.
Companies’ Employee Stock Purchase Plans can have myriad structures and features. The fair value of an ESPP depends on both the structure of the plan and the economic assumptions used in the valuation model. We explain how to get started calculating the fair value of your ESPP.
Variable pay plans continue to be a critical component of many organizations’ total rewards package as traditional merit increase budgets remain at record low levels.
Even while declining in popularity, car allowance plans for sales employees are still a majority practice in many markets. We examine the latest trends in plan prevalence and eligibility using Radford Global Sales Survey data and offer tips for technology and life sciences companies reconsidering their car policies.
ISS' newly released draft policy updates for 2019 would swap GAAP metrics for EVA and adopt a voting standard around board diversity. Glass Lewis’ final policies are extensive in both compensation and corporate governance topics. We explain what the updates entail.
The elimination of 162(m) in the tax bill provides an opening for a new era in long-term incentive metrics. We analyze the direction incentive metrics are headed and what companies in different technology industries should think about with an eye toward the future.
It’s more crucial than ever to understand how to attract and retain non-exempt and hourly workers for the busy holiday season and beyond using micro-market pay data.
With an increased focus both internally and externally on pay for performance, we examine how companies with different performance ratings systems are optimizing their merit budget.
Published: October 2018
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Here are seven key findings from the study that will help as you build or evolve your own company’s global mobility strategy and policies.
Companies experiencing high growth need to engage in smart workforce planning and examine their compensation philosophy, culture and employee experience to stay competitive. We highlight important ways emerging growth biotech companies are taking these steps.
At most companies, Fall is the start of compensation planning season. To help you prepare, Radford has developed a quick checklist for keeping your pay programs up to date.
We’ve developed a list of six tips to keep in mind when considering how to use geographic pay differentials.
Internal sales mobility moves are on the rise, driven by factors such as career development. However, these situations can be complicated from a compensation standpoint. We provide tips for companies encountering these situations, including whether to adopt a formal mobility program.
The SEC has ramped up its scrutiny of proxy advisory firms when, earlier this month, the agency made the unusual decision to rescind the findings from two No Action Letters that were issued by SEC staff in 2004. The letters asserted that investment advisers could rely on proxy advisory firms’ maintenance of policies and procedures to alleviate potential conflicts of interest. We explain the potential implications of the latest action for the corporate governance community.
Published: September 2018
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While overall salary may be projected to rise in 2019, however, workers in the U.S. shouldn’t expect to bring home more in total cash compensation next year.
Across many industries, sales compensation costs are consistently rising, while quota achievement levels continue to drop. You probably ask yourself these types of questions on a frequent basis: Do I have the right sales team in place to achieve my goals? And do I have the right measurements in place to know if my sales plan is even working? Following these 10 steps will maximize the performance of your sales force.
Deciding whether to re-identify your median employee is a key question going into the second year of CEO pay ratio disclosures. We explain when the SEC requires companies to re-identify the median employee and the circumstances under which it’s not required but a good idea.
As we approach the end of the year and companies are busy preparing compensation plans for 2019, we wanted to dig a little deeper and share the year-over-year executive compensation trends among various job families across different components of pay.
Aon’s recently released 2018 Hot Topics in Executive Compensation survey provides executive compensation professionals a pulse on what’s on the mind of other professionals in the field so you do not feel like you’re on an island.
The outlook for the UK life sciences sector is optimistic with aggressive hiring and employee turnover on the rise. This is causing firms to reinforce their efforts to retain top performers. We explain the talent and rewards strategies companies should think about.
Our recent work with a pharmaceutical client to quantify the impact of their health and wellness programs on performance is an example of the valuable insights people analytics can uncover. We explain our process and key takeaways in this new case study.
New guidance from the IRS on the tax bill’s treatment of 162(m) delves into the identification of covered employees, operation of the grandfather rule and modification of a written contract. Our new alert goes into detail on the application of these changes.
When it comes to benchmarking executives, proxy filings provide the cleanest and most readily available data. Yet, there are times when proxy data alone isn’t comprehensive enough when analyzing compensation for certain executive roles.
Published: August 2018
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We examine the influence of two key factors that can impact CHRO pay: reporting relationship and job title.
When determining the right metrics for your incentive plans, the most important consideration is looking at the unique circumstances of your own business and industry and choosing measures that support your business strategy. Using an industry peer group to benchmark your incentive plan provides an internal perspective on what your peers are doing.
Institutional Shareholder Services (ISS) took the first step in its annual policy update process when it recently released its annual corporate governance policy survey to clients.
Base salary premiums for technical vs. non-technical jobs, for both professional individual contributor and management roles, continue to climb at technology companies across the United States. However, the rate of change is uneven, which means companies must pay close attention to the market. Our article highlights where the market is moving fastest and what companies can do about it.
From gender diversity on boards to quantitative pay-for-performance screens and “excessive” director pay, ISS is considering 10 potential policy changes for 2019. We explain what each policy up for consideration entails and how likely it is to be changed.