Given Say on Pay, Shareholders Say No

Research conducted by Ralph Walkling, executive director of LeBow College’s Center for Corporate Governance, and Jie Cai, assistant professor of finance, was referenced in a SmartMoney.com article titled “Given Say on Pay, Shareholders Say No.”

Companies that overcompensate their executives relative to peers can see a stock-price boost when say on pay proposals are announced, according to research by Cai. Yet, in the past, activist shareholders’ say on pay demands haven’t targeted firms that truly overpay their top brass, Cai says.