Executive remuneration 'should be tied to performance'

The Recruitment & Employment Confederation (REC) has underlined the importance of linking executive remuneration to the fiscal performance of the business.

Indeed, this was one of the key recommendations of the recently-published Kay Review, as it is believed this will help nurture a more positive attitude toward sustainable performance in the long term.

Director of research at the REC Roger Tweedy said this is also a key message they have heard from employers up and down the country.

Indeed, the latest JobsOutlook survey conducted by the REC found that 65 per cent of respondents believe this to be necessary.

Mr Taylor said employer confidence is relatively low - as well as being static and fragile in the current economic climate.

"This is contributing to the stop-start nature of the recovery," he remarked, adding: "However, many businesses understand that recruiting good people is the most effective way to grow in a recession."