Management Turnover as Change Agent

Tuesday, May 13, 2008

Recommended Reading - Dutch move to limit big payouts for chief executives

The egalitarian Dutch are the first to try and limit big payouts to executives.  According to a story by Stephen Castle in the International Herald Tribune the Dutch are working on ways to curb executive excess as it relates to money.
... the government is backing an unusual law that takes a first crack at curbing such windfalls. The legislation, drafted by the finance minister, Wouter Bos, was sent to Parliament on Tuesday, where it is expected to pass in time to come into force next year.

"I believe cohesion in society is not served by inexplicable inequalities," Bos said at a recent seminar of center-left politicians, held at a country-house hotel north of London. "Public support for entrepreneurship around the globe is eroded if you let this continue, and this is not in the interests of our economy or entrepreneurship."
If you happen to be interested in executive compensation no matter which side of the argument you are on you should read the article and keep a close eye on how The Netherlands handles the proposed changes.

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