Businesses ‘can play important role in stemming executive misconduct’
US academic calls for an end to non-disclosure agreements (NDAs), changes in the use of arbitration and better reporting of complaints.
Harvey Weinstein leaves court during his trial in January 2020. Image: Lev Radin/Shutterstock
Nothing makes headlines quite like a corporate scandal, with events at Volkswagen, MacDonald’s, Tesla and many other examples in evidence. But one US academic has put together a list of recommendations that he believes could help boards head off executive behaviour coming off the rails.
Tom CW Lin believes there are at least three major changes US corporates could make to help change the current business environment. He calls on companies to halt the use of non-disclosure agreements (NDAs) for allegations involving executive misconduct; transform the way arbitration is used as a dispute resolution tool; and to issue annual reports about
For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda
Related Stories
-
European commissioner to publish company law initiative in November
European commissioner to propose company law that would facilitate and simplify cross-border business, and promote the use of digital technologies.
-
Annual BlackRock CEO letter focuses on climate and diversity
Larry Fink calls on firms to publish their strategies to support a net zero economy and "improve diversity, equity and inclusion".
-
GPIF, Japan’s pension fund, to probe external fund manager’s pay
Japan’s Government Pension Investment Fund, the world's largest pension fund, is to look at the link between pay and performance for external portfolio managers.
