Aflac Investors Get a Say on Executive Pay

NEW YORK -- Aflac on Monday became the first American company to give shareholders a vote on top management’s compensation, The New York Times reported.

Slightly more than 93 percent of shareholders approved of the $11.96 million compensation package that Daniel P. Amos, Aflac’s chief executive for the last 18 years, received last year. Only 2.5 percent voted against it, the paper reported.

Aflac is the first of what governance experts expect will be numerous companies to offer shareholders a say on pay. Verizon Communications, Par Pharmaceutical, Blockbuster and RiskMetrics have pledged to do so, and shareholders are clamoring for the vote at other companies, the paper reported.

Last year, investors filed 60 resolutions asking for a say on pay and got about 44 percent of the vote, on average. This year, more than 90 such resolutions were filed, the paper reported.

-- NYSSCPA.org News Staff

Posted on 5/6/08