COMPANY COMMENT
Sun’s remuneration policy not quite there
Sun International just doesn’t seem to be able to get it right with remuneration
Back in 2013, after nearly 50% voted against the remuneration policy, CEO Graeme Stephens said the board would tackle shareholders’ concerns. Things improved a little in the following year, but after 2015’s 31% vote shareholders might have hoped the remuneration committee would engage their concerns more vigorously. Whatever changes the committee made obviously didn’t do the trick. When a full 65.5% of shareholders vote against the remuneration policy you should know you’re on the wrong track. It is a nonbinding vote, so the directors don’t have to take shareholder concerns too seriously. King IV, which comes into effect in 2017, will put a little more pressure on the remuneration committee, but nothing too difficult. The code recommends the remuneration policy should record the measures the board commits to take if there’s a 25% or more vote against. The steps taken to tackle "legitimate and reasonable objections and concerns" should also be disclosed. The unimpressive performance ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.