Reference no: EM13976459

Paper Type: Essay

Topic: Directors' Remuneration (Corporate Governance Ethics module)

No# of Pages: 6 pages (1,500 words)

Subject Area: Accounting

Paper Style: Harvard

No# of Sources Required: 10

Details: 
As you will see, the essay must be split into two parts (approximately 750 words each). 

- In the first part you have to critically evaluate Vincent Cable's comment. So, I would like you to give your verdict as to what extent you agree with the statement. I would like you to provide evidence taken from a wide range of sources (including the one suggested at the bottom of the assignment information document) which both agree with and contradict the argument (find possible advantages and disadvantages of the implementation of the new framework given by the Regulatory Reform Act of 2013 ).Then you should come to a final conclusion, basing your decision on what you judge to be the most important factors and justify how you have made your choice. 

- In the second part you should select an example of shareholder activism challenging excessive directors' pay for a UK public listed company (maybe a bank could be a good example). Again, you have to critically evaluate the shareholders' activism example referring to the sources I've provided.

I would like you to mainly use academic references such as journal articles and some websites --> approximately 10 references (even more if needed)

Module Corporate Governance & Ethics Assignment title Directors’ pay Restrictions on length 1,600 words

Over the last decade directors’ pay has quadrupled with no clear link to company performance. At the same time company reports have become increasingly complex without giving shareholders the information they need…I expect shareholders to use this new framework to maintain recent activism and challenge companies to inject greater pay discipline and prevent rewards for failure.”

(a) With reference to the enactment of the UK Enterprise and Regulatory Reform Act of 2013, critically evaluate Vince Cable’s comments above regarding directors’ pay in the UK.

(b) Research and critically evaluate ANY ONE high-profile example of shareholder activism challenging excessive directors’ pay for a UK public listed company.

Your assignment should be completed in two separate parts as per the above requirements, and it should be written in academic style (NOT a business report) using the Harvard Referencing Guide. The maximum total word length guidance for this assignment is 1,600 words, excluding references. Your answer to each of the requirements above should be consistent with the mark allocation percentages shown above.

SELECTED INTIAL READING REFERENCES

Great Britain, Department for Business Innovation and Skills, Executive Remuneration – Discussion Paper, September 2011.

Great Britain, Department for Business Innovation and Skills, Executive Remuneration – Discussion Paper: summary of responses, January 2012.

Great Britain, Department for Business Innovation and Skills, Directors’ Pay – Consultation on revised reporting regulations, June 2012.

Mallin, C.A. Corporate Governance 5th Edition (2015), Oxford University Press, Chapter 9.

Solomon, G. Corporate Governance and Accountability 3rd Edition (2012), Willey, Chapter 4.