One-fifth of FTSE 100 chairs could be affected by nine-year tenure rule
New provisions defining “independence” for non-executive directors in a revised corporate governance code could affect one-fifth of FTSE 100 chairs.
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Almost a fifth of boardroom chairmen in the FTSE 100 could be forced to move on from their role after nine years, according to proposed measures in a revised corporate governance code for the UK.
The Financial Reporting Council (FRC) published the new draft last week, including a change that would see chairs obliged to move on after nine years, as other non-executives are currently required to do.
But research by the Financial Times reveals that this could affect 19 of the current chairmen in the UK's top index, as well as those in a further 48 listed companies.
The draft code says: "Individual non-executive directors, including the
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