The Pensions and Lifetime Savings Association (PLSA) has issued its Stewardship Guide and Voting Guidelines for 2022. The 2022 Guidelines set out the PLSA's views on current best practice and its voting recommendations for AGMs in 2022.
Three key areas covered by the 2022 Guidelines are:
- Climate change – The PLSA wants to see all listed companies refer to the TCFD framework and include better disclosure on the company's impact on the environment.
- Executive remuneration – Restraint should be shown on executive pay proposals in light of the increasing cost of living, and especially where companies benefitted from Government support during the pandemic.
- Diversity – The PLSA says it is seeing significant progress on diversity on boards and welcomes the direction of travel. It calls for a continued focus on ensuring diversity, and says that investors should vote against re-election of the Chair and/or Chair of the Nominations Committee of FTSE 100 companies that are consistently failing to move closer to the Parker Review target of 'no white boards' by 2021.
The Guidelines also contain the PLSA's voting recommendations summary chart, which sets out its recommendations on particular issues including executive remuneration, audit, company leadership and dividends.
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