August 3, 2017
Flipping Pay for Performance Upside Down: It’s Not Just Performance Shares
Our popular “Meet the Speaker” series, featuring interviews with speakers at the 25th Annual NASPP Conference, is a great way to get to know our many distinguished speakers and find out a little more about their sessions in advance of the Conference.
For today’s “Meet the Speaker” interview, we feature an interview with Yonat Assayag of ClearBridge Compensation Group, who will lead the session “Flipping Pay for Performance Upside Down: It’s Not Just Performance Shares.” Here is what Yonat had to say:
NASPP: Why should companies be thinking about their LTI plans now?
Yonat: Structuring the right long-term incentive plan for a company’s business needs is one of the biggest challenges that companies are facing today. Pressure from external groups like shareholders and shareholder advisory groups puts an even greater spotlight on how companies are structuring their programs. Hearing the latest market insights on LTI plan design during our session can help to make sure everyone is making an informed decision about the plan design that’s right for their particular circumstances.
NASPP: What is a common mistake companies make with their LTI plans and how can they avoid this?
Yonat: One common mistake companies make in designing their incentive plans is to “blindly” follow the market trend. While this may ultimately be the right approach, it is important to review all the pros and cons before making a decision. Specifically, when designing a long-term incentive plan, companies should review the trade-offs of each LTI vehicle and ultimately come to a decision of what is best for their business situation, with an understanding of market practice.
NASPP: What is the silver lining to LTIs?
Yonat: The silver lining is that companies do not need to feel “stuck” with a plan design that isn’t working for them. Companies can re-evaluate and modify their LTI plan design over time to meet their evolving needs.
NASPP: What is your superpower?
Yonat: Brainwashing!
Don’t miss Yonat’s session, “Flipping Pay for Performance Upside Down: It’s Not Just Performance Shares,” at the NASPP Conference!
About the NASPP Conference
The 25th Annual NASPP Conference will be held from October 17-20 in Washington DC. This year’s program features close to 100 sessions on today’s most timely topics in stock and executive compensation; check out the full agenda and register today!