Q&A with Compensation Consultant Pearl Meyer

A top consultant explains how CEO compensation has gotten out of hand and how to fix the problem without sacrificing an important executive incentive

Boards of directors must quicken their pace in coming to grips with compensation for chief executive officers or risk losing control of their companies to a chorus of shareholder activist critics, says Pearl Meyer, a leading compensation consultant at Steven Hall & Partners in New York. But they should resist efforts to link annual CEO compensation to the company's share price, and the Securities & Exchange Commission has more work to do on the issue, she adds. Here are edited excerpts from a recent conversation:

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