Shareholders face vote on directors’ pay in EU ruling

ALL Irish listed companies will have to give shareholders a vote on directors’ pay under new rules planned by the EU.

The EU plans, published by outgoing internal market commissioner Frits Bolkenstein yesterday, means all firms listed on the Irish Stock Exchange will have to publish the pay of top bosses and could face the embarrassment of having to restructure their remuneration if voted against at annual general meetings.

It also said variable remuneration schemes, under which directors are paid in shares, share options or any other right to acquire shares should be subject to prior approval of the annual general meeting of shareholders.