Aflac Inc.’s board of directors is inviting shareholders to vote on the company’s executive compensation package.
Aflac, Columbus, Ga., says it’s the first major publicly owned U.S. corporation to allow shareholders to vote on executive compensation. The results of the vote would be nonbinding.
“We believe that our compensation policies and procedures are centered on a pay-for-performance culture and are strongly aligned with the long-term interests of our shareholders,” the Aflac executive compensation committee says in the company’s 2008 proxy statement.
Aflac says it will announce the results of the vote May 5, during its annual shareholders meeting in Columbus.
In February 2007, Aflac announced the shareholder’s say-on-pay vote would occur in 2009, the first year the proxy statement would contain 3 years of executive compensation data, as required by U.S. Securities and Exchange Commission disclosure rules implemented during the 2006 proxy season.
This year, the Aflac board has decided that 2 years of compensation data is enough, the company says.