CEO ownership boosts pay, independent directors cut it, UK study finds.
The study looked at what factors influence how much CEOs get paid in UK companies. They found that when CEOs own more of the company, they tend to get paid more. Having more independent directors on the board can lead to lower CEO pay. And when a company is doing well financially, the CEO's pay tends to go up. This shows that it's important for companies to tie CEO pay to how well the company is doing, to avoid potential issues. The study suggests that more research is needed to understand how CEO pay and corporate governance are connected.