In a rare rebuke to corporate executive pay, Netflix shareholders rejected pay packages for top executives at the company, including co-CEO Ted Sarandos, former co-CEO Reed Hastings and Greg Peters, who served as COO of the company last year and was previously this elevated to the role of co-CEO.
The “no” vote on the “Say on Pay” proposal is non-binding, but in the past such no votes have led to changes in the way executive compensation is distributed in the future. It was not immediately clear by how much margin the vote failed.
In fact, Netflix addressed this exact issue in 2019 and reached out to shareholders after they rejected the compensation plans.
The vote also comes just days after the WGA urged Netflix shareholders to vote against the pay packages. background of the strike.”
The union sent a similar letter to Comcast shareholders, saying that company would hold its shareholder meeting next week.
It’s also not clear how influential the WGA letter was in getting the “no” vote, especially given that it was sent just days before the shareholders’ meeting, after many institutional shareholders would have voted.
More to come.
