Nulla facilisi. Nulla consequat massa quis enim. Ut tincidunt tincidunt erat. Phasellus blandit leo ut odio. Curabitur suscipit suscipit tellus.

Duis lobortis massa imperdiet quam. Aenean imperdiet. Phasellus ullamcorper ipsum rutrum nunc. Etiam ut purus mattis mauris sodales aliquam. Sed consequat, leo eget bibendum sodales, augue velit cursus nunc, quis gravida magna mi a libero.

13th June 2018

Pay Ratios

The Government has announced regulations which will require the largest UK quoted companies to annually publish and justify the pay difference between their chief executive and their staff.

The regulations are expected to apply to around 450 companies with more than 250 UK employees.

In addition to the reporting of pay ratios, the regulations will also:

  • require all large companies to report on how their directors take employee and other stakeholder interests into account
  • require large private companies to report on their responsible business arrangements
  • require listed companies to show what effect an increase in share prices will have on executive pay to inform shareholders when voting on long-term incentive plans

 

Subject to Parliamentary approval, the regulations will come into effect from 1 January 2019 meaning that companies will start reporting their pay ratios in 2020.