Compensation committees may have more work to do to fully understand the level of risk in their organizations’ pay plans, according to findings of a recent survey by compensation consultancy Pearl Meyer & Partners.
While 60 percent of the 630 directors and employees polled say they’re confident that their compensation committees fully understand the level of risk in their companies’ compensation plans, 21 percent lack confidence in Committee members’ understanding of risk-related issues, and the remainder were uncertain, PM&P reports in its “On Point: 2010 Executive Pay-for-Performance Survey.”
