This guide from Wachtell, Lipton, Rosen & Katz provides an overview of the key rules applicable to compensation committees of listed US companies and practices that compensation committees should consider in the current environment. It outlines a compensation committee member’s responsibilities, reviews the composition and procedures of the compensation committee, and considers important legal standards and regulations that govern compensation committees and their members. It also recommends specific practices to promote compensation committee effectiveness in designing appropriate compensation programmes that advance corporate goals.
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