Improved board oversight
APRA commentary that the revised standard has ‘removed some prescription and sharpened its consider overarching maxims’ to make sure that panels and also the remuneration committee bring sufficient challenge and rigour towards the oversight of this remuneration framework inside their organization.
Amendments within the revised standard may also be meant to explain the duties between administration, the board and board remuneration committee, without unneeded prescription.
Board approval of remuneration results
The revised standard will nevertheless need panels to accept remuneration results, after recommendations that are committee the passions of strengthening board engagement, oversight and accountability. Nonetheless, in response to feedback, APRA has modified needs around approval of highly-paid material risk takers (HPMRT) spend to permit ‘cohort reviews’ and narrowed the meaning of HPMRTs. APRA intends to describe better training examples for cohort reviews in forthcoming guidance.
Describing the modification, APRA states so it