Occidental Petroleum, which in the past has dealt with much backlash from shareholders over its pay practices, has agreed to hold an advisory vote on compensation at its 2010 annual meeting and support federal “say on pay” legislation, according to RiskMetrics.
“We welcome ongoing input from our stockholders. Oxy’s Board of Directors strives to maintain an ongoing, constructive dialogue with the goal of achieving continuous improvement in all aspects of our corporate governance, including executive compensation,” Ray R. Irani, the company’s chairman and chief executive officer, said in a Jan. 26 statement.
The Needmor Fund and various Catholic groups agreed to withdraw their resolution seeking an advisory vote. A Needmor say on pay proposal received 44.4 percent support at Occidental in 2008. The AFL-CIO and the American Federation of State, County, and Municipal Employees also withdrew 2009 resolutions that seek a “hold until retirement” policy for executive equity incentives and a vote on future golden coffin benefits.
Investors plan to file more than 100 say on pay proposals this year. Seventy-nine companies in 2008 that went to a vote averaged about 42 percent support.