Four core principles of executive compensation

July 9, 2018
Executive compensation guiding principles banner; aerial view of car driving through woods

By Don Delves

Executive compensation is still a relatively young profession and field of study. As it has matured, core principles have started to coalesce. Principles are important because they give executive compensation professionals a consistent, common framework for serving the best interests of their organizations. Executive compensation principles and standards have evolved through the efforts of many professional bodies.

These groups conducted an in-depth research study to develop a definitive and comprehensive set of principles for executive compensation, which was then narrowed down to a core group of overarching principles.

In this article, published in the June/July 2018 issue of Workspan magazine, Don Delves focuses on the four overarching principles, capturing their relationship, use and importance with executive compensation.

The article is reproduced here with the permission of WorldatWork.