Search firms to improve diversity shortlists following report
5 April 2017
Executive search firms could have to review candidate shortlists more closely in future to take account of a new recommendation from MPs aimed at improving gender diversity in UK boardrooms.
This is due to a recommendation from MPs for FTSE 350 and listed companies to ensure at least half of all new appointments to senior management positions are women.
The recommendation has been made in a report from the Commons Business, Energy and Industrial Strategy Committee, published today. The report also calls on these firms:
- to publish pay ratios between men and women annually
- to simplify the structure of executive pay and end long-term incentive plans
- for workers to be represented on remuneration committees deciding executive pay and for the chairs of these committees to be expected to resign should shareholders reject their pay proposals.
• What are your views on this issue? Email us at [email protected] or tweet us below to tell us your thoughts. We will run comments online in a round-up at the end of the week.
