Be sure Join Deloitte director Leslie Yuill, non-executive director Shirley Zinn, and Vodacom CHRO Matimba Mbungela in what is bound to be a riveting discussion.
This Wednesday, CHRO South Africa will be hosting a free-to-attend webinar about executive pay and its’ growing contribution to the widening of social inequality. The question of whether C-suite executives get paid too much is an age-old debate. On one hand, given the limited talent pool, good CEOs are extremely difficult to find and companies should pay as handsomely as they can to attract and retain this rare talent.
On the other, there is the view that executive pay is so disproportionate to the average salary within an organisation that creates disharmony and destroys the sense of community that today’s high-performing organisations need.
“It really is a case of damned if you do and damned if you don’t,” says Deloitte director Leslie Yuill, who leads the Reward and Well-being practice within Deloitte Southern Africa and will be sitting in on the extinguished panel. Leslie will be alongside Shirley Zinn, who is an author and non-executive director serving on a variety of boards, and Vodacom CHRO Matimba Mbungela who has extensive REMCO experience.
The discussion, which will be moderated by CHRO SA managing editor Sungula Nkabinde will explore the issue of executive pay in the context of the coronavirus pandemic, debating whether it’s time that CEOs and their counterparts adjust their expectations downwards when it comes to remuneration, particularly in light of the global economic downturn.
“This is a very tricky period for remuneration committees whose roles, among others, are to incentivise their top leadership fairly, responsibly and transparently so as to promote the achievement of the strategic objectives and positive outcomes of their organisations in the short, medium and long term,” says Sungula.
Given the uncertainty around the virus and the extent to which it will erode economic activity, Sungula says REMCOs will surely find it difficult to set targets based upon which incentives should be based. Furthermore, there is also the ethical consideration of financially rewarding executives who will likely have to restructure and a retrench in the pursuit of operational efficiency. The Swiss luxury-goods maker Richemond, for example, was recently pressured into reviewing its HR function after it emerged that senior executive compensation increased significantly while many other employees received pay cuts.
Be sure to join the conversation at 10 am on Wednesday 22 July to hear from top experts in a riveting discussion about executive remuneration and the widening pay gap during and post Covid-19.