CEO Remuneration: Structure and Levels
Posted: 19 Aug 2008
Date Written: August 17, 2008
Abstract
This paper provides evidence about CEO remuneration structure and levels, as well as key CEO and board attributes, for a large sample of listed Australian firms during the 2004-2006 period. As such it provides recent evidence about how Australian executives are rewarded and permits observation of the key variables that influence the payment of cash and equity incentives to top management. The evidence presented here indicates that there is diversity in remuneration practice across Australian firms and that the level and structure of CEO compensation differs across firm size and industry. Disclosures over the study period also indicate a trend towards more formalised performance hurdles for the cash bonus and equity-based components of pay, possibly as a consequence of regulatory focus on the executive pay-performance relationship.
Keywords: remuneration, corporate governance, disclosure
JEL Classification: M41, M52, J33
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