A new clause was added to the Finance Bill 2020 (which should shortly be section 107 of Finance Act 2020) in June, which provides a time-limited exception for EMI option holders who are unable to meet the necessary ‘working time’ requirements as a result of COVID-19. (See here for a discussion in our June Newsletter).…

July 30, 2020 Read more >

In 2019 MM&K, together with our partners in the GECN (Global Governance and Executive Compensation Group) researched global trends in Corporate Governance – investors’ perspective. The outcomes of this research are presented in the Executive Summary of the 2019 Report (click here to request a copy). The GECN is a group of five independent advisory…

July 30, 2020 Read more >

In our May Newsletter, we wrote: “The current state of the oil and gas industry points to a strategy of cost cutting, consolidation and collaboration. Conserving cash resources is the priority – for all firms but particularly for the small and mid-size players, whose balance sheets are not so strong as those of the large…

July 30, 2020 Read more >

On 8 June 2020, HMRC published the Employment Related Securities Bulletin 35 which addresses certain issues concerning the impact of COVID -19 on employee share schemes. A brief summary of the bulletin is set out below. Click here for the full bulletin. Enterprise Management Incentives (EMIs) With regard to EMI, the bulletin states that HMRC…

June 29, 2020 Read more >

MM&K has recently conducted its annual Pulse Survey of the latest trends in the world of PE and VC Fund Managers’ pay and staffing levels. Perhaps not surprisingly, many firms were somewhat distracted by the Lockdown and the effect this was having on their staff and their working patterns. Notwithstanding this, we were able to…

June 29, 2020 Read more >

The recent summer solstice reminds us that the year is half way through and for those involved in managing people, this is likely to be the time for a half year or even full year review. However, even if it isn’t, now is still the time to have these conversations. Given all of the recent…

June 29, 2020 Read more >

All of us have had to make major adjustments to our lives over the past three months. Boards of directors and their remuneration committees are no exception. Many companies have been required to make transformational changes to their operations and their remuneration policies, and may yet have to make more. Here are five key agenda…

June 29, 2020 Read more >

But is now a good time to adopt a new employee share plan? A recent report, published by The Social Market Foundation (“the SMF”), in February 2020 was entitled “Strengthening employee share ownership in the UK”.  This report was both supported and funded by the Investment Association. The SMF is an independent British political public…

May 28, 2020 Read more >

Oil and gas on a knife-edge – remuneration might have to break the mould to retain talent throughout this current crisis The market price of oil balances the scales between success and failure for companies operating in the sector. Boards keep a close watch on the break-even price. The average break-even price in the US…

May 28, 2020 Read more >

Revisit NED remuneration policy to conserve cash and increase alignment Traditionally, UK NEDs have been paid an annual cash fee, supplemented, in some cases, by additional cash for chairing or being a member of a Board committee. Participation by NEDs in annual bonus plans and performance-related share options or LTIs is opposed by investors and…

May 28, 2020 Read more >

Deferred Share Plans get over the first major hurdle (just about…) Without doubt, it is always difficult being an early adopter and trying something new. Those in new areas of the economy talk about being at the “bleeding edge” rather than the leading edge when it comes to changing things.  As we explored in a…

May 28, 2020 Read more >

Coming out of a downturn strong (and how long-term incentives will be key to doing that) One of the things that we have seen time and time again, as advisors to a wide range of companies across many sectors, is that future success after a downturn is not measured by how you weathered the initial…

May 28, 2020 Read more >