CEO Performance and Remuneration

Project leaders: Peter Abell, Max Steuer, Henry Wynn

The causes and consequences of extreme economic inequality is being studied from a range of considerations. One aspect of the work has involved the role of executive search firms, or head hunters, in high CEO remuneration in large firms in the United Kingdom. The findings, presented in the article “Head-hunter methods for CEO selection” (full reference below), led to two articles in The Financial Times  and prime coverage in the Sunday Observer.

The focus of the current work is directed to remuneration committees. There is a large literature in this area. The project’s approach complements other work by focussing on a new a revealing aspect of the functioning of remuneration committees: the working methods, procedures and objectives of these committees as perceived from the inside. To further this end the project is conducting extensive interviews with the chairs of a number of remuneration committees. Taking account of the sensitivity of these matters work tends to concentrate, where possible, on former chair persons in the hope that they would feel freer to discuss these matters than those chairs currently in the post. So far this approach is producing significant results, but considerably more work needs to be undertaken.

Recent Publications

  • Steuer, Max (2019): “Richard G. Lipsey (1928-)”, chapter 29 in The Palgrave Companion to LSE Economics, edited by Robert A. cord, Palgrave Macmillan, pp. 723 – 742, 2018.
  • Steuer, Max, Peter Abell and Henry Wynn (2015), “Head-hunter methods for CEO selection”, Journal of General Management, volume 41, No 1., Autumn 2015, pp. 3 – 24.