The pressure of shareholders has paid off and, at the meeting held this Thursday, Amadeus managed to approve the remuneration of its directors, which caused so much headache a year ago: at the 2021 meeting, 61.5% of the shareholders voted against the Annual Report of Remuneration for 2020. Visit the specialized portal elEconomista Sustainable investment and ESG.
In the assembly held yesterday, the Report corresponding to the 2021 financial year – whose vote was the third item on the agenda – did go ahead. He did, moreover, with an overwhelming majority of favorable votes, greater than 91%. The managers squeeze the listed companies in climate change.
To achieve this acceptance, Amadeus has been pushed to make improvements in its remuneration policyamong them the elimination of the right to exercise discretion with regard to the remuneration of the board (that is, the power to freely decide on increases in remuneration).
Although the votes on remuneration reports are, in the vast majority of cases (including that of Amadeus) only advisory, the law establishes that if the rejection is greater than 50%, the company has to present a new plan. In any case, explains Juan Prieto, founder of the proxy Spanish Corporance Vote Advisors, a percentage of It is not of 10% “is already a warning”. Above two digits, rejection is considered significant. “And from 15%, and above all 20%, it is already considered that the company has to take measures,” adds Prieto.
The rejection received by Amadeus in its previous meeting, that 62%, is not at all usual among the Spanish listed companies, whose shareholders, for many years, have been characterized by being rather passive in these processes. But, in recent times, the figure of the proxy advisor (entities that provide services to investors, mainly institutional, of advice on voting in meetings) has encouraged them to mobilize, at a time when good practices in ESG aspects (environmental, social and good governance) are more relevant than ever .
Inside of G of ESG, in the governance pillar, most of the active dialogue that investors carry out and the votes against that they cast have to do with, in about 40% of cases, with remunerations, as highlighted by lex Bardaj, director for southern Europe of the proxy Glass Lewis; “Not only with regard to the amounts, but also with regard to whether or not that remuneration is aligned with the company’s performance, or if it is excessive,” he said.