TY - UNPB
T1 - Multiple Compensation Consultants and CEO Pay
AU - Kabir, Mohammed Rezaul
AU - Minhat, Marizah
PY - 2010/5
Y1 - 2010/5
N2 - The study examines the practice of employing multiple compensation consultants. Data for a sample of UK companies over the period 2003-2006 are analyzed using a variety of econometric methods. We find that CEOs receive higher equity-based pay when firms employ more than one compensation consultant. Further, an increase in the number of compensation consultants is associated with an increase in CEO pay, whereas no decline in CEO pay takes place when firms reduce the number of pay consultants. We also observe that the market shares of compensation consultant are positively related to CEO compensation. The finding is consistent with the conjecture that compensation consultants act to survive competition from other consultants
AB - The study examines the practice of employing multiple compensation consultants. Data for a sample of UK companies over the period 2003-2006 are analyzed using a variety of econometric methods. We find that CEOs receive higher equity-based pay when firms employ more than one compensation consultant. Further, an increase in the number of compensation consultants is associated with an increase in CEO pay, whereas no decline in CEO pay takes place when firms reduce the number of pay consultants. We also observe that the market shares of compensation consultant are positively related to CEO compensation. The finding is consistent with the conjecture that compensation consultants act to survive competition from other consultants
KW - IR-74065
KW - CEO Pay
KW - Executive Compensation
KW - Compensation Consultant
KW - Corporate Governance
M3 - Working paper
T3 - Working paper series
BT - Multiple Compensation Consultants and CEO Pay
ER -