Publications 

2 January 2018

Canada’s top CEOs will make $50K before noon on Jan. 2

If they were to live on the average worker’s pay, Canada’s CEOs could stop working at around 11 a.m. on Jan. 2 and take the rest of the year off. That’s because by 10:57 a.m. on the second day of the year, their earnings will have already hit $49,738, the equivalent of the country’s average […]

7 December 2017

How a proposed new ‘right’ for shareholders could badly damage corporate boards

There is a frenzied rush to get/give a new ‘right” to shareholders, the right to put up their own nominees for board membership. Boards of directors, so goes a dominant opinion, are not to be fully trusted to pick the right kind of people as directors or to shift the membership swiftly as circumstances change, […]

21 November 2017

Canada’s ‘questionable’ CEO pay system needs overhaul: Think tank

Current executive compensation practices are making Canadian CEOs rich, but at the expense of a strong corporate culture and the long-term interests of shareholders, according to a new report from the Institute for Governance of Private and Public Organizations (IGOPP). “Mutual trust, loyalty, the sharing of objectives and pride in the organization, the sense of […]

21 November 2017

Companies urged to rethink executive pay practices

Companies should give CEOs share units less often and stop paying them with stock options to motivate better long-term performance and minimize the role of luck in compensation payouts, a new report argues. The Quebec-based Institute for Governance of Private and Public Organizations has proposed revamping the model for executive pay in Canada, saying companies […]

21 November 2017

Here are the pay perks you’d enjoy if you were a CEO in Canada

The typical Canadian CEO makes $8 million a year, 140 times the average private-sector salary, according to new research by the Montreal-based Institute for Governance of Private and Public Organizations (IGOPP). In the banking sector, that ratio is even higher, with the median CEO compensation at $10.5 million. Things, though, weren’t always so. In 1998, […]

17 November 2017

Pershing Square, Ackman and CP Rail: A Case of Successful ”Activism” ?

Pershing Square, an activist hedge fund owned and managed by William Ackman, began hostile maneuvers against the board of CP Rail in September 2011 and ended its association with CP in August 2016, having netted a profit of $2.6 billion for his fund. This Canadian saga, in many ways, an archetype of what hedge fund […]

30 October 2017

Using International Comparisons to Guide Performance Improvement: Implications for Governance

Presentation made in October 2017,  by Eric C. Schneider, Senior Vice President for Policy and Research of the Commonwealth Fund, for the Conference on the governance of the healthcare system, organised by the Institut for Governance (IGOPP).

27 September 2017

‘Fat cats’ in Peters’ sights

Winston Peters’ swingeing attack on Fonterra boss Theo Spierings’ $8.3 million pay packet could be the first real salvo in his self-advertised campaign to ‘clean up corporate New Zealand’. There was little attention given to Peters’ campaign against alleged business “fat cats” while he was slugging it out on the election trail. But given the […]

8 September 2017

Overreacting to dual class stock

Yvan Allaire has a great analysis of Dow Jones’ overreaction to Snapchat’s IPO and the dual class stock phenomenon in general: ”In July 2017, Dow Jones, goaded by the reaction to Snapchat having gone public with a class of shares without voting rights, announced that, after extensive consultation, it had decided to henceforth eliminate companies […]

7 September 2017

Dow Jones Erred By Going Nuclear on Dual-Class Shares

In July 2017, Dow Jones, goaded by the reaction to Snapchat having gone public with a class of shares without voting rights, announced that, after extensive consultation, it had decided to henceforth eliminate companies with dual-class shares from its indices, in particular the S&P 500 Index. Over the last 10 years, putting money in passive […]

31 August 2017

U.K. reforms bring workers’ voices to corporate boards

The United Kingdom is stiffening the rules large companies must follow in an effort to rein in executive pay and bolster the input of ordinary employees in the running of their firms. On Tuesday, the government outlined a series of changes. Large publicly-traded companies will have to report annually the ratio of CEO pay to […]

24 August 2017

Dow-Jones goes nuclear on dual class of shares

In July of this year, Dow-Jones, goaded by the reaction to Snapchat having gone public with a class of shares without voting rights, announced that, after extensive consultation, it had decided to henceforth eliminate dual-class companies from its indices, in particular the S&P 500 Index. Over the last ten years, putting money in passive index funds has become […]

17 August 2017

Trump-era shift: CEOs find a voice for moral outrage

Corporate America started the year ready to engage with a controversial but business-minded president. This week CEOs have risen in chorus to denounce Trump’s lackluster response to racism. Not since the 1930s, when prominent business heads publicly broke with Franklin Roosevelt, has a US president seen such a revolt by leading business executives. [ … […]

5 July 2017

The tough job of University rector in Quebec

There’s been a substantial turnover of university leaders recently in Quebec, and finding replacements has sometimes proven difficult. No fewer than nine university institutions in Quebec have seen their executive head depart since 2015. Several of the rectors – the term used for university presidents in Quebec – left their posts after a single mandate […]

29 June 2017

The CEO pay crusade

For a few months there, 2016’s political earthquakes seemed to signal a power shift away from the 1%. What started with the Brexit vote escalated when Donald Trump won the White House. Now, as we barrel toward an apocalypse incited by ill-advised presidential tweets, all that anti-elite anger has somehow been forgotten—and with it, any […]

12 June 2017

On becoming an «activist board»… In the age of activist shareholders

After some 15 years of tweaking and polishing the theory and practice of “good” governance, perfectly independent board members remain surprise-prone, estranged from the goings-on in the company, partially informed and lacking the wherewithal to challenge management. No doubt that the legitimacy and credibility of boards have suffered as a result. In the current age, […]