Headline-grabbing changes in another company’s C-suite present the perfect opportunity for corporate boards to re-examine their executive compensation agreements, pay consultants said.
That’s particularly true when an exiting executive heads out the door with a lavish severance package while the rest of the organization is reeling from bad PR.
Steve Easterbrook provided the latest teachable moment by pocketing $675,000 in severance and $37 million in pending stock awards after being removed as CEO of McDonald’s Corp. Board members said they cut ties with Easterbrook because he had “demonstrated poor judgment” by engaging in a consensual relationship with a colleague.
Andrew ...