Remuneration committees’ remit broadened under revised UK Code
Aligning wider workforce pay in relation to executive remuneration should be tasked to non-executives under a revised Corporate Governance Code, suggests the Financial Reporting Council.
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Wider workforce pay and policy influence, and details on how this relates to executive remuneration, would come under the remit of remuneration committees under a revised UK Corporate Governance Code.
The changes, which are part of a planned wholesale update of the code, have been put to consultation by the Financial Reporting Council (FRC).
Part of the FRC’s aim is to encourage greater focus on the “strategic rationale for executive pay levels in a broader context”. Recent reviews and a government green paper have formed the basis for an effort to align the treatment of executives and workers.
“At this critical time and as t
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