Wednesday 20 November 2013

GOLDEN "GOODBYE" LEAVING PAYMENTS , WHAT DO THEY REWARD ?


Recent and On-going events have highlighted serious deficiencies in Company Law concerning Directors who "flee" when a scandal is about to become public ! 

Payments made when an "executive" leaves or is "retired" or "sacked", should be explained very clearly and made publicly available for shareholders and investors on the Stock Exchange. 

When high powered Directors, who often have service contracts which protect them to the end of their period of employment, are "thanked" for the "mess" they have left, something is wrong !  

Legislation is necessary in many countries on this issue.  Disclosures of details why the payments made were justified and who authorised them, needs to be part of basic Company Law ! 

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