UK - The government is seeking guidance from pension funds on whether to back the UK's corporate governance framework with legislation.
Schemes have until September 30 to respond to the department of trade and industry’s Rewards for Failure consultation document.
Trade secretary Patricia Hewitt said the paper explores a range of possible best practice and legislative options. “In response to continuing shareholder concern, this consultation explores whether further action is needed on the issue of directors’ contracts and severance.”
But the paper maintains that individual directors’ pay is a matter for companies and their shareholders.
NAPF chief executive Christine Farnish said: “We welcome the government’s interest in corporate governance issues, but further legislation must be avoided as the government has stated in the document.”
Farnish says pension funds are already seeing notable successes and is confident the voluntary system will take effect over time.
PwC, KPMG, EY and Deloitte must break up their consultancy and audit businesses into distinct firms to provide greater focus on the "most challenging and objective audits", the competition watchdog has said.
The Department for Work and Pensions (DWP) has released its first batch of guidance setting out how the guaranteed minimum pension (GMP) conversion legislation may be used to resolve unequal payments.
This week's top stories include the government spending £800,000 on a Gogglebox advert and MPs writing to The Pensions Regulator about its engagement with the Railways Pension Scheme.