ENSURING FAIR LEVELS OF EXECUTIVE DIRECTORS’ REMUNERATION: REGULATION AND USE OF PRINCIPLES AGAINST THE USE OF DETAILED LEGAL RULES IN DETERMINING THE MOST EFFECTIVE APPROACH FOR SETTING EXECUTIVE PAY LEVELS. A DISCUSSION

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Ewgeni Hersonski

https://doi.org/10.22495/jgr_v1_i3_c2_p3

Abstract

The purpose of this paper is to present arguments concerning the fair levels of executive directors’ remuneration. It is argued that principles are a better way to achieve this goal. However, we also find arguments in support of detailed legal rules when dealing with this matter. Since both methods have their pros and cons the paper delivers a balanced discussion and also outlines how the executive pay is currently regulated in the UK, the United States as well as on the global scale.

Keywords: Directors’ Remuneration, Use of Principles, Use of Detailed Legal Rules, Pay Levels

How to cite this paper: Hersonski, E. (2012). Ensuring fair levels of executive directors’ remuneration: Regulation and use of principles against the use of detailed legal rules in determining the most effective approach for setting executive pay levels. A discussion. Journal of Governance and Regulation, 1(3-2), 171-176. https://doi.org/10.22495/jgr_v1_i3_c2_p3