Executive Compensation Archives - EMPLOYEE BENEFITS BLOG

SEC hosts roundtable on executive compensation disclosure requirements

by Craig Garvey, Kate Vera Coverdale and Galen Spielman | Jul 24, 2025 | Executive Compensation

The US Securities and Exchange Commission recently hosted a roundtable to discuss potential updates to executive compensation disclosure requirements. The roundtable highlighted the need to reevaluate the current executive compensation disclosure framework due to complexity, costs, and potential distortion of corporate behavior. Participants debated the effectiveness of current disclosures, such as pay versus performance and CEO pay ratio, and the classification of personal executive security expenses as perquisites.

One Big Beautiful Bill Act Has Compensation & Benefits Impacts for Nonprofit Health Systems

by Travis Jackson, Robert C. Louthian, III and Kristen O'Brien | Jun 3, 2025 | Employee Benefits, Executive Compensation, Health and Welfare Plans

The US House of Representatives passed its One Big Beautiful Bill Act on May 22, 2025 (the Act), but nonprofit health systems may not find much about the Act that’s attractive. If passed by the US Senate and signed into law, the Act would threaten already thin operating margins at nonprofit hospitals and health systems by expanding the executive compensation excise tax, taxing parking, and similar employee benefits.

Read more here.

Governing Health Podcast | 2025 Executive Compensation Committee: Key Priorities and Strategic Insights

by Michael W. Peregrine and Jeffrey Holdvogt | Apr 15, 2025 | Executive Compensation

This special quarterly series of the Governing Health podcast with SullivanCotter highlights developments in and offers support to the board’s executive compensation committee as it navigates a range of complex operational, technical, and strategic challenges.

In this episode, Michael Peregrine, Tim Cotter, Bruce Greenblatt, Kathy Hastings, and Jeff Holdvogt offer recommendations for the committee to focus on in 2025, including:

Establishing appropriate incentive goals in an evolving health system
Prioritizing executive succession planning/leadership development
Keeping appraised of regulatory and market trends
Ensuring flexibility and defensibility in committee approval processes
Aligning key governance documents to fulfill committee fiduciary duties
Evaluating committee reporting and coordination with other board committees
Overseeing executive compensation in for-profit and not-for-profit ventures subsidiaries
Considering board compensation trends in not-for-profit health systems
Determining the need to evolve committee composition
Addressing executive compensation scrutiny

Listen on Spotify.

New Year, New Rules: Global Equity and Employment Law Considerations for Calendar Year 2025

by Rob Marshall and Lauren Salas Mationg | Jan 9, 2025 | Employee Benefits, Employment, Executive Compensation, Health and Welfare Plans, Retirement Plans

Many countries finalized new regulations and released new guidance in 2024 that will impact global equity plans. This client alert highlights key updates from Canada, the European Union, the United Kingdom, Brazil, and other jurisdictions, and recommends steps companies should take to address them.

Access the article.

Surprise Medical Billing Law ‘Not Working the Way We Want It to Work’

by Jeffrey Davis | May 20, 2024 | Executive Compensation, Health and Welfare Plans

A legislative fix to surprise medical billing is not working the way lawmakers imagined it would work. According to this Politico Pro article, private equity groups are disproportionately benefiting from the No Surprises Act, and the law may inadvertently lead to higher health insurance premiums.

Access the article.

FTC Issues Rule Banning Worker Noncompete Agreements

by Rachel B. Cowen, Brian Mead, Katharine O’Connor, Lisa Rumin, Stephen Wu and Alex Grayson | Apr 30, 2024 | Employee Benefits, Employment, Executive Compensation, Labor

On April 23, 2024, the Federal Trade Commission (FTC) voted 3-2 along party lines to ban all new noncompete agreements nationwide and render existing noncompete agreements binding most workers unenforceable. The Final Rule, slated for publication in the Federal Register, provides that employers’ use of noncompete agreements amounts to an “unfair method of competition” that runs afoul of Section 5 of the FTC Act.

Read more here.

COMING UP

For a deeper dive, join our multidisciplinary team of employment and antitrust lawyers for a webinar covering what employers need to know about the Final Rule and what to do next.

FTC’s Final Noncompete Rule: What It Means and Next Steps for Employers
Wednesday, May 8, 2024
Webinar | 2:00 – 3:00 pm (EDT)

Register for the webinar here.

Family Office Tax Webinar Replay: Compensation Strategies

by Patrick J. McCurry and Thomas Ward | Apr 11, 2024 | Employee Benefits, Executive Compensation, Retirement Plans

Taxes can have a significant impact on family offices, influencing decisions around structure, investing and overall planning strategies. McDermott’s Family Office Tax webinar series explores the latest trends and guidance on tax planning for family offices and identifies opportunities to optimize tax efficiency.

Our first webinar covered the legal, tax and administrative considerations a family office faces when creating incentive and deferred compensation plans for employees. Discussion topics included:

Compensation strategies as tools to use in competing in the “war for talent”
Long-term incentive arrangements to reward performance and foster retention
Leveraged and non-leveraged co-investment opportunities
Benefits of carried interest, phantom equity and profit sharing

Access the webinar.

Soaring to New Heights: The IRS’s Crackdown on Aircraft Usage by Corporations and High-Income Earners

by Andrew Liazos, David Fuller and Jennifer Hill | Mar 1, 2024 | Executive Compensation, Fiduciary and Investment Issues

The Internal Revenue Service (IRS) has announced plans to initiate dozens of new audits this spring in an attempt to ground high-flying taxpayers and their personal usage of corporate aircrafts. These audits will focus primarily on “highest risk” corporations and large partnerships, IRS Commissioner Danny Werfel stated. Werfel added that audits of high-income earners will likely follow to “ensure that high-income groups are not flying under the radar.”

Read more here.

Deadlines for the Adoption of Clawback Policies Extended

by Thomas P. Conaghan, Andrew Liazos, Eric Orsic, Heidi J. Steele, Daniel Woodard, Dan O’Neil and Kishan Mistry | Jun 15, 2023 | Executive Compensation, Fiduciary and Investment Issues

The US Securities and Exchange Commission (SEC) recently approved amendments to clawback policy listing standards proposed by the New York Stock Exchange (NYSE) and the Nasdaq Stock Market LLC (Nasdaq) that extend the effective date of the exchanges’ respective listing standards to October 2, 2023. Issuers listed on the NYSE and Nasdaq now have until December 1, 2023 (60 days from the new effective date) to comply with their respective exchange’s listing standards.

Read more here.

Addressing DOJ’s New Compliance Focus on Executive Compensation

by Ralph E. DeJong, Michael W. Peregrine, Sarah Walters and Eugene I. Goldman | May 19, 2023 | Executive Compensation

The new compliance focus on executive compensation, as announced by the US Department of Justice (DOJ) on March 3, 2023, has significant implications for how healthcare organizations address both corporate compliance and compensation programs for their executives. It also raises new issues for the board of directors’ oversight of compliance and compensation functions.

In a recent webinar, McDermott’s Ralph E. DeJong, Michael W. Peregrine, Sarah E. Walters and Eugene I. Goldman discussed the new policies, possible responses by management and boards, and potential strategies for responding to the policy goals of the DOJ and the Delaware Chancery Court.

Access the webinar and top takeaways here.

BLOG EDITORS

STAY CONNECTED

TOPICS

ARCHIVES

RECENT POSTS