More Companies are Linking Executive Pay to ESG Performance, But Few See It as Critical to Sustainability Goals

Large US companies are increasingly linking executive compensation to some form of ESG performance, with the share growing from 66 percent in 2020 to 73 percent in 2021. At the same time, just a minority of polled corporate executives say including ESG (environmental, social, and governance) performance goals in executive pay is very important in achieving their ESG goals. Most view such measures as being of medium importance, which indicates that incorporating ESG measures into compensation is just part of companies' broader efforts to achieve their objectives. READ MORE