ROYALTY FEE DEBATE
The shine has worn off King code’s crown
Remgro’s Johann Rupert may have voiced many people’s frustrations when he said he was ‘sick of the King code nonsense’
Just three months since the launch of the fourth iteration of the King code on corporate governance and there are already signs of King fatigue. Within the corporate community and among experts who advise them on governance, there is a sense that King 4 may be a code too far. Remgro’s Johann Rupert may have voiced many people’s frustrations when he said at December’s annual general meeting that he was "sick of the King code nonsense". (Although his specific complaint about auditor rotation had nothing to do with the code.) The first King code, launched in 1994, sparked excitement and enthusiasm around what was then a relatively new idea, formalising restraints on the behaviour of corporate executives. Twenty-two years later, and the excitement and enthusiasm have largely disappeared. Now much of the online discussion about the code concerns the plans of the Institute of Directors (IoD) to charge a royalty fee for its use. The concerns may have been prompted by the prominence given t...
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.