Earlier this week, President Obama signed "Dodd-Frank Act" into law. While legislation is focused primarily on overhauling U.S. financial regulatory system, the Act contains eight provisions addressing corporate governance and executive compensation that'll have a significant impact on public companies.
"The Act writes another chapter in discussion about shareholders voting on executive pay (commonly referred to as "say-on-pay"). Last year, we considered two shareholder proposals for 2009 annual meeting requesting an advisory vote on whether to implement "say-on-pay." Instead we went a step further and held our first say-on-pay vote giving shareholders opportunity to weigh in on policies and practices for compensation of Company's top leaders. Brad Smith, details Microsoft's say-on-pay policy in latest edition of Directors & Boards, one of the industry's leading voices on governance matters," stated Microsoft.