Essec\Faculty\Model\Contribution {#2216 ▼
#_index: "academ_contributions"
#_id: "15489"
#_source: array:26 [
"id" => "15489"
"slug" => "15489-esg-criteria-executive-directors-compensation-focus-on-directors-of-the-french-cac40"
"yearMonth" => "2024-09"
"year" => "2024"
"title" => "ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40"
"description" => "DE BEAUFORT, V. (2024). ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40. <i>Strategies in Accounting and Management</i>, 5(1), pp. 1-26. 
DE BEAUFORT, V. (2024). ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the "
"authors" => array:1 [
0 => array:3 [
"name" => "DE BEAUFORT Viviane"
"bid" => "B00000133"
"slug" => "de-beaufort-viviane"
]
]
"ouvrage" => ""
"keywords" => array:19 [
0 => "Executive remuneration"
1 => "ESG"
2 => "Non-financial"
3 => "Remuneration policy"
4 => "Value sharing"
5 => "Say on Pay"
6 => "Environment"
7 => "Ecology"
8 => "Climate"
9 => "Social"
10 => "Gender equality"
11 => "Governance"
12 => "Non-financial performance"
13 => "Agency theory"
14 => "CAC40"
15 => "Diversity and inclusion"
16 => "CO2 emissions"
17 => "Corporate governance"
18 => "Stakeholders – Sustainable value"
]
"updatedAt" => "2025-03-14 09:56:46"
"publicationUrl" => "https://crimsonpublishers.com/siam/pdf/SIAM.000604.pdf"
"publicationInfo" => array:3 [
"pages" => "1-26"
"volume" => "5"
"number" => "1"
]
"type" => array:2 [
"fr" => "Articles"
"en" => "Journal articles"
]
"support_type" => array:2 [
"fr" => "Revue scientifique"
"en" => "Scientific journal"
]
"countries" => array:2 [
"fr" => "États-Unis"
"en" => "United States of America"
]
"abstract" => array:2 [
"fr" => "This study, conducted by the European Centre for Law and Economics (CEDE) at ESSEC, analyses the integration of ESG (Environmental, Social, Governance) criteria into the remuneration policy of executive directors (DMS) of the CAC40, utilizing research carried out within the Women Board Ready ESSEC programme in 2023. In response to growing extra-financial challenges, the remuneration of DMS has evolved to include ESG objectives, aiming to encourage a serious consideration of these criteria in the strategies of major corporations, alongside the evolving legal framework. The inclusion of ESG criteria in remuneration packages is now a widespread practice among large European companies, though the weighting and nature of the criteria used vary significantly. Reports from the Responsible Investment Forum (FIR), based on annual questions during shareholder meetings of major corporations published between 2020 and 2024, show a growing trend in the integration of ESG criteria into the remuneration policies of CAC 40 companies. In 2023, 842 written questions were posed during general assemblies. Within the Women Board Ready ESSEC programme, participants of the 2023 cohort worked on addressing disparities in the application of ESG criteria. While 100% of CAC40 companies have included ESG criteria in short-term variable remuneration since 2022, the ESG component in variable remuneration is 19.6% and 19.8% for the short and long terms, respectively. Only 23 CAC 40 groups provide a detailed breakdown of ESG criteria for the short term, and only 16 do so for the long term. This study also notes an imbalance in the types of ESG criteria considered, with a predominance of environmental criteria over social and governance criteria. Companies need to ensure that prioritized ESG indicators are clear, detailed, and aligned with meaningful performance objectives. The inclusion of ESG criteria in compensation packages is now a widespread practice, but the weighting and nature of the criteria used vary significantly. To be fair to the companies, determining a set of criteria, indicators, and objectives remains challenging. The CSRD directive should serve as a progressive tool, leading us to produce this second research with several recommendations. Our hypothesis is that, given the inability to define a normative ESG framework applicable to all companies across all sectors, it would be advisable to attempt to develop a more individualized approach, tailored to the specificities of each economic entity and the extra-financial issues that concern it. This means developing a “philosophy of extra-financial performance in ED compensation” by promoting a set of principles to guide compensation committees in their choice, evaluation, and measurement of ESG criteria, especially given the favorable context of normative evolution with the CSRD. This study, conducted by the European Centre for Law and Economics (CEDE) at ESSEC, analyses the int "
"en" => "This study, conducted by the European Centre for Law and Economics (CEDE) at ESSEC, analyses the integration of ESG (Environmental, Social, Governance) criteria into the remuneration policy of executive directors (DMS) of the CAC40, utilizing research carried out within the Women Board Ready ESSEC programme in 2023. In response to growing extra-financial challenges, the remuneration of DMS has evolved to include ESG objectives, aiming to encourage a serious consideration of these criteria in the strategies of major corporations, alongside the evolving legal framework. The inclusion of ESG criteria in remuneration packages is now a widespread practice among large European companies, though the weighting and nature of the criteria used vary significantly. Reports from the Responsible Investment Forum (FIR), based on annual questions during shareholder meetings of major corporations published between 2020 and 2024, show a growing trend in the integration of ESG criteria into the remuneration policies of CAC 40 companies. In 2023, 842 written questions were posed during general assemblies. Within the Women Board Ready ESSEC programme, participants of the 2023 cohort worked on addressing disparities in the application of ESG criteria. While 100% of CAC40 companies have included ESG criteria in short-term variable remuneration since 2022, the ESG component in variable remuneration is 19.6% and 19.8% for the short and long terms, respectively. Only 23 CAC 40 groups provide a detailed breakdown of ESG criteria for the short term, and only 16 do so for the long term. This study also notes an imbalance in the types of ESG criteria considered, with a predominance of environmental criteria over social and governance criteria. Companies need to ensure that prioritized ESG indicators are clear, detailed, and aligned with meaningful performance objectives. The inclusion of ESG criteria in compensation packages is now a widespread practice, but the weighting and nature of the criteria used vary significantly. To be fair to the companies, determining a set of criteria, indicators, and objectives remains challenging. The CSRD directive should serve as a progressive tool, leading us to produce this second research with several recommendations. Our hypothesis is that, given the inability to define a normative ESG framework applicable to all companies across all sectors, it would be advisable to attempt to develop a more individualized approach, tailored to the specificities of each economic entity and the extra-financial issues that concern it. This means developing a “philosophy of extra-financial performance in ED compensation” by promoting a set of principles to guide compensation committees in their choice, evaluation, and measurement of ESG criteria, especially given the favorable context of normative evolution with the CSRD. This study, conducted by the European Centre for Law and Economics (CEDE) at ESSEC, analyses the int "
]
"authors_fields" => array:2 [
"fr" => "Droit "
"en" => "Business Law"
]
"indexedAt" => "2025-04-03T11:21:42.000Z"
"docTitle" => "ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40"
"docSurtitle" => "Journal articles"
"authorNames" => "<a href="/cv/de-beaufort-viviane">DE BEAUFORT Viviane</a>"
"docDescription" => "<span class="document-property-authors">DE BEAUFORT Viviane</span><br><span class="document-property-authors_fields">Business Law</span> | <span class="document-property-year">2024</span> <span class="document-property-authors">DE BEAUFORT Viviane</span><br><span class="document-property "
"keywordList" => "<a href="#">Executive remuneration</a>, <a href="#">ESG</a>, <a href="#">Non-financial</a>, <a href="#">Remuneration policy</a>, <a href="#">Value sharing</a>, <a href="#">Say on Pay</a>, <a href="#">Environment</a>, <a href="#">Ecology</a>, <a href="#">Climate</a>, <a href="#">Social</a>, <a href="#">Gender equality</a>, <a href="#">Governance</a>, <a href="#">Non-financial performance</a>, <a href="#">Agency theory</a>, <a href="#">CAC40</a>, <a href="#">Diversity and inclusion</a>, <a href="#">CO2 emissions</a>, <a href="#">Corporate governance</a>, <a href="#">Stakeholders – Sustainable value</a> <a href="#">Executive remuneration</a>, <a href="#">ESG</a>, <a href="#">Non-financial</a>, <a href= "
"docPreview" => "<b>ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40</b><br><span>2024-09 | Journal articles </span> <b>ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40</b><br> "
"docType" => "research"
"publicationLink" => "<a href="https://crimsonpublishers.com/siam/pdf/SIAM.000604.pdf" target="_blank">ESG Criteria & Executive Directors’ Compensation – Focus on Directors of the French CAC40</a> <a href="https://crimsonpublishers.com/siam/pdf/SIAM.000604.pdf" target="_blank">ESG Criteria & Exec "
]
+lang: "en"
+"_type": "_doc"
+"_score": 8.856574
+"parent": null
}
