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Executive remuneration is increasingly being linked to companies’ sustainability performance, with shareholder interest in the issues strengthening, according to a study by business research group, the Conference Board. It says shareholders are placing more value on corporate sustainability initiatives and that non-financial performance will become a more prominent topic in future proxy seasons. Thomas Singer said: “The growing importance of sustainability in the boardroom means we can expect non-financial performance to play a greater role in future executive compensation schemes.”
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