Microsoft grants investors vote on pay
SOFTWARE giant Microsoft has agreed to let its shareholders vote on its bosses’ pay packages, following the fierce debate over executive pay in the recession.
The firm will hold a vote every three years on its executive pay, starting with its annual meeting on 19 November, although the result of the vote will not be binding.
Microsoft said in the event of a “significant negative” vote against its pay packages it would “consult directly with shareholders to better understand the concerns that influenced the vote”.
The move comes as big companies fight to show they are considering public sentiment on the pay row, and after the US Congress has been discussing legislation on so-called “say on pay” measures to give more involvement to shareholders.
Microsoft said it adopted the vote after discussions with shareholders, including Walden Asset Management, Calvert Investments and the United Brotherhood of Carpenters, which had submitted similar proposals for say-on-pay votes.