Corporate Governance in Reward

REWARD CORPORATE GOVERNANCE AND THE KING III REPORT

The new King code and report is a significant advance on the former codes and reports I and II and now also covers Non Profit organizations or entities.   Given the continuing economic turmoil, strong and consistent good governance is an essential underpinning for all business entities. The report places greater emphasis on sustainability and risk in addition to responding to the implications of the new Companies Act.

“Corporate governance mainly involves the establishment of structures and processes, with appropriate checks and balances that enables directors to discharge their legal responsibilities”

Good governance in terms of remuneration entails the following:

  • Determining minimum standards for the composition, the terms of reference and meeting procedures for remuneration committees or other bodies that govern remuneration practices in the organization.
  • Establishing structures, processes and procedures to ensure that remuneration practices in the organization are well executed and monitored.
  • Promoting the highest standard of corporate governance, transparency and consistency in the disclosure of remuneration for all staff, executive and non-executive directors.
  • Providing a framework within which the remuneration of executive and non-executive directors can be disclosed, to provide better insight to shareholders or other stakeholders and to promote consistency between organizations.

The new King III Report details the allocation of duties for the the following:

  • Board of Directors
  • Individual Directors
  • The Chairman
  • The CEO – Chief Executive Officer
  • Company Secretary
  • The Remuneration Committee
  • Audit Committee
  • Risk Committee
  • Internal Audit Committees

Averile Ryder Reward Specialists can assist your organisation with the implementation and maintenance of good practices pertaining to the allocation of duties for the above Executives and Committees and / other Remuneration Governance Bodies.

We have the knowledge, experience and skills to assist Remuneration Committee members with the effective execution of their duties

For more information you can contact Averile or Mandy on +27(0)11-453-0080 or e-mail:Averile@rewardspecialist.co.za and / or Mandy@rewardspecialist.co.za