Monthly Archives: July 2015
LATAM Airlines Group, formed through the association of LAN Airlines and TAM Airlines in 2012, has a fleet of more than 300 aircraft and around 53,000 employees. With business units in seven countries in South America – Argentina, Brazil, Chile, Colombia, Ecuador, Paraguay and Peru – much work has been made to standardise our policies and cultures so as to embed and consolidate a single LATAM Airlines Group corporate identity.
Sun Life Financial of Canada has long recognised that our business is based on trust: our customers’ trust in our ability to honour long-term financial promises to them and our shareholders’ trust in the long-term value we create for our customers. We earned that trust by making business ethics and prudent governance guiding values for our operations, culture and growth as a company.
Ethics underpins good corporate governance. Developing an ethical corporate culture, therefore, is an important objective for boards. Ethical behaviour, as witnessed by numerous corporate scandals, will not manage itself and directors and managers need clear guidance when dealing with ethical dilemmas. Decisions taken within an organisation may be made by individuals or groups, but whoever makes them will be influenced by the corporate culture
With the Organisation for Economic Co-operation and Development (OECD) stating it is “seriously concerned by the lack of foreign bribery convictions”, Australia is under increasing scrutiny to improve the regulation, investigation and prosecution of bribery and corruption domestically and abroad. Moreover, Australia has slipped out of Transparency International’s top 10 least corrupt countries, pointing to “heightened concern as to whether [corruption] scandals are leading to action and resolution”. As a result, the Australian Government recently established a Senate Inquiry into Foreign Bribery, which will report on 1 July 2016.
Each year proxy statement best practices evolve based on the heightened focus of new regulations created by the U.S. Securities and Exchange Commission (SEC). 2015 marks the ninth year under the SEC’s executive compensation disclosure rules and the fifth year of the ‘Say on Pay’ vote. Along with these changes in regulation, companies are also using the proxy statement as an opportunity to communicate directly to their shareholders, by telling their unique story in an interesting fashion.