BusinessPostCorner.com
No Result
View All Result
Friday, July 18, 2025
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources
BusinessPostCorner.com
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources
No Result
View All Result
BusinessPostCorner.com
No Result
View All Result

Executive compensation and DEI metrics’ waning influence

July 3, 2024
in Human Resources
Reading Time: 2 mins read
A A
0
Executive compensation and DEI metrics’ waning influence
ShareShareShareShareShare

Much of corporate America responded swiftly in May 2020 when George Floyd was killed by a Minneapolis police officer, sparking widespread national outrage and a reexamination of racism in American life. In addition to speaking out about the murder, many employers launched broad strategies to increase workforce diversity through efforts to hire, promote and better train diverse employees.

Many Fortune 500 companies—including Best Buy, Starbucks, Chipotle, Target, Johnson & Johnson and others—also boosted their focus on accountability among senior leaders by linking executive pay to DEI metrics, such as the retention rate of diverse employees and the inclusivity rate of training offered.

However, new research shows that some organizations have backed off those efforts in the year since the U.S. Supreme Court struck down affirmative action policies at colleges and universities. The ruling prompted conservative activists to file dozens of lawsuits and EEOC complaints against employers objecting to their affirmative action policies for hiring, training and promoting employees.

Now, research from Farient Advisors indicates that the percentage of U.S. companies tying a portion of executive compensation and incentives such as cash bonuses and stock awards to DEI metrics declined in fiscal year 2023-24 for the first time since Floyd’s death. Farient Advisors reviewed regulatory filings from 1,200 companies on the S&P 1500 going back to fiscal year 2020, its latest data available.

According to the filings, for instance, Uber removed DEI from the Strategic & Operational Priorities listing under its Annual Cash Bonus Plan and replaced it with a metric related to maintaining company culture. Meanwhile, 3M reexamined how it sets CEO compensation, removing a reference to increasing diversity among its management, instead citing improved investments in diverse communities and diverse suppliers, according to Farient Advisors’ research.

Brian Bueno, ESG practice leader at Farient Advisors, sat down with Human Resource Executive to discuss this shift, how some companies are now defining diversity for executive compensation purposes and what the change means for HR leaders and their organizations.


Credit: Source link

ShareTweetSendPinShare
Previous Post

This management theory could reshape the return-to-office debate

Next Post

Why digital fluency is a must-have skill in the modern workforce

Next Post
Why digital fluency is a must-have skill in the modern workforce

Why digital fluency is a must-have skill in the modern workforce

Netflix enlists AI for first time to cut costs and boost creativity

Netflix enlists AI for first time to cut costs and boost creativity

July 18, 2025
HMRC does not know how much tax billionaires pay, say MPs

HMRC does not know how much tax billionaires pay, say MPs

July 15, 2025
Amazon’s AWS has joined the AI agent craze. Now the real work of showing Fortune 500 companies how to actually use them begins

Amazon’s AWS has joined the AI agent craze. Now the real work of showing Fortune 500 companies how to actually use them begins

July 17, 2025
The attacks on Tim Cook are half-baked—despite Apple stumbling over AI 

The attacks on Tim Cook are half-baked—despite Apple stumbling over AI 

July 15, 2025
Stocks rise Thursday after strong corporate earnings reports

Stocks rise Thursday after strong corporate earnings reports

July 17, 2025
Congress passes bill backed by AICPA offering tax filing relief after natural disasters

Congress passes bill backed by AICPA offering tax filing relief after natural disasters

July 11, 2025
BusinessPostCorner.com

BusinessPostCorner.com is an online news portal that aims to share the latest news about following topics: Accounting, Tax, Business, Finance, Crypto, Management, Human resources and Marketing. Feel free to get in touch with us!

Recent News

Crypto Market Cap Nears  Trillion as Bitcoin and Altcoins Surge Following Key US Legislation

Crypto Market Cap Nears $4 Trillion as Bitcoin and Altcoins Surge Following Key US Legislation

July 18, 2025
Defence firms ‘confident’ hundreds more jobs will come

Defence firms ‘confident’ hundreds more jobs will come

July 18, 2025

Our Newsletter!

Loading
  • Contact Us
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2023 businesspostcorner.com - All Rights Reserved!

No Result
View All Result
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources

© 2023 businesspostcorner.com - All Rights Reserved!