Company directors have been bombarded with a raft of reports, recommendations, guidelines and legislation over the last 12 months. Accounting scandals, economic uncertainty and controversy over remuneration packages have forced companies to focus on the role and effectiveness of the board.
In April and May 2003, CMS Cameron McKenna and the IoD surveyed over 200 UK executive and non-executive directors (27 per cent from FTSE350 companies) to find out how they spend their time, what concerns them and what they think about their roles. They were also asked to comment on levels of remuneration and the implications of recent reports affecting corporate governance and proposed reforms for non-executive directors and audit committees.
The results reveal that directors take their responsibilities seriously and are not just concerned with their own rewards. They acknowledge and accept their liabilities and admit that they need more information on a range of legal issues. They also show that further steps need to be taken by companies and institutional shareholders alike before compliance with recent recommendations on corporate governance is achieved.
For information on directors' duties, rights and liabilities or any other boardroom issue, please contact Sandra Rafferty (Corporate Partner) at firstname.lastname@example.org or on +44 (0)20 7367 2804 or your usual contact partner.