Pay Governance LLC is an independent firm that serves as a trusted advisor on executive compensation matters.
Our work helps to ensure that our clients' executive rewards programs are strongly aligned with performance and
supportive of appropriate corporate governance practices.
Aubrey E. Bout is a Managing Partner in the Boston office of Pay Governance. Aubrey actively consults on all aspects of executive compensation. He has a strong track record of helping boards and management teams develop executive pay programs that are aligned with company business strategy, performance and risk appetite. Aubrey has worked with numerous global companies over his 25 year career helping them address complex issues while increasing shareholder value. He works across many industries and geographies and extensively works with leading financial services, life sciences, professional/ business services and technology companies.
Aubrey formerly served as New England Practice Leader, Executive Compensation for Willis Towers Watson. Prior to that, Aubrey was VP of Human Resources & Customer Satisfaction for Covad Communications, a Silicon Valley headquartered technology company focused on broadband expansion, where he was responsible for developing and executing the company’s overall HR strategy and significantly improving the customer experience and retention.
Aubrey has written numerous articles in HR journals such as People & Strategy, Rotman International Journal of Pension Management, Workspan, WorldatWork Journal, The Corporate Board and various industry trade magazines. He has co-authored several chapters in the two Pay Governance books on executive compensation. He is also a frequent speaker on executive compensation and human resource matters.
Aubrey holds a B.S. in Engineering from Cornell University and a M.S. in Engineering and Management from the University of Southern California.
Our viewpoint “Long-Term Pay-For-Performance Alignment: A 10-Year Review of CEO PSU Plan Payout Histories” was re-posted in The Advisors’ Blog. The article can be read by clicking on the link. https://www.compensationstandards.com/member/Blogs/consultant/2018/02/a-10-year-review-of-ceo-psu-plan-payout-histories.html February 28, 2018
CEO pay continues to be a widely debated topic in the media, in the boardroom, and among investors and proxy advisors. As the U.S. was in the heart of the 2008-2009 financial crisis, CEO total direct compensation (TDC; base salary + actual bonus paid + value of long-term incentives [LTI]) dropped for 2 consecutive years. Continue reading →
With the introduction of say-on-pay (SOP) in 2011 and the increased clout of proxy advisory firms on executive compensation program designs, the performance share unit (PSU) has become a common feature of executive long-term incentive (LTI) programs among U.S. public companies. Continue reading →
The past 5 years have seen a significant number of companies spinning off one or more businesses into separate, free-standing companies. S&P’s Capital IQ reports a total of 86 full or partial spin-offs that began trading on a major U.S. exchange from mid-2011 through mid-2016 — an average of 17 per year. Continue reading →
CEO pay continues to be a widely debated topic in the media, within the government, and in the boardroom among investors and proxy advisors. As the U.S. was in the heart of the financial crisis in 2008 – 2009, CEO total direct compensation (TDC = base salary + actual bonus paid + value of long-term incentives) dropped for two consecutive years. As the U.S. stock market sharply rebounded and the economy started to slowly grow again, CEO pay also rebounded. Large pay increases occurred in 2010, primarily in the form of larger long-term incentive (LTI) grants. Since then, year-over-year increases have been fairly moderate – in the 2% to 6% range for the period 2011-2015. Continue reading →
Executive pay continues to be a hotly debated topic in the boardroom among investors and proxy advisors, and it routinely makes headlines in the media. As the U.S. was in the heart of the financial crisis in 2008 – 2009, CEO total direct compensation (TDC = base salary + actual bonus paid + grant value of long-term incentives) dropped for two consecutive years. Continue reading →
As companies approach the upcoming proxy season, Say on Pay (SOP) once again becomes top of mind for Compensation Committees and corporate management. Over the past 4 years since SOP proposals became mandatory under Dodd-Frank, shareholders have continued to show overwhelming support for executive pay packages despite continued criticism by media and other outlets. Continue reading →
One of the key functions of an incentive plan is to align participants with the interests of shareholders; such a pay objective has become especially relevant in the post-Say on Pay world’s focus on good compensation governance. Continue reading →
The majority of the general public and mainstream media believe that CEOs control their boards allowing them to reap excessive pay packages that are not aligned with actual company performance. Continue reading →
In 2010, the federal banking agencies1 adopted final guidance originally proposed by the Federal Reserve on incentive compensation design (“Sound Incentive Compensation Policies”). This guidance is based upon a principles-based approach governing banking organizations’ incentive compensation arrangements and related processes, … Continue reading →
A new Equilar report featuring commentary from Pay Governance and Donnelley Financial Solutions analyzes the compensation discussion and analysis (CD&A) section of S&P 100 proxy statements over the last five years. With the average CD&A reaching nearly 10,000 words, the report revealed key strategies in how companies design and communicate pay practices by using alternative pay graphs, checklists and other visualizations that help draw investors to the most important information.
To be redirected to Equilar and download a copy of this important report, click here.
Matt Quarles has joined the firm as a Partner. In this role, Quarles is responsible for working with clients across industries on a wide range of executive compensation issues. He will be based in Los Angeles and has nearly 20 years experience in the executive compensation consulting industry.
Pay Energy®, a new proprietary assessment tool developed by Pay Governance
Pay Energy®, a new proprietary assessment tool developed by Pay Governance LLC, helps companies consider the “drive, discipline and speed” inherent in current programs and in alternative designs that may be evaluated.
“The fundamental philosophy of executive compensation is to ‘attract, retain and motivate’ a talented management team. So it’s concerning when you hear incentive awards are just put in desk drawers until plans mature,” said Pay Governance managing partner John England.