David Cameron signals crackdown on executive pay

Prime minister David Cameron has pledged to tackle large payouts for executives dismissed because of poor performance in an interview with the BBC’s Andrew Marr on 8 January, 

Cameron promised “clearer transparency, in terms of the publication of proper pay reports and binding shareholder votes”.

He also hinted that legislation around this issue could be announced in the Queen’s Speech, which is likely to take place in the spring.

An inquiry concluded in November by the High Pay Commission found that the pay of top executives at a number of FTSE companies had risen by more than 4,000% on average in the last 30 years.

Business secretary Vince Cable is expected to outline the government’s response later this month.

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