Latest Products

Paper on Deferred Bonuses

Friday 9 September 2022



GRC Institute Director Professor Elizabeth Sheedy spoke to the GRC professional Podcast about accountability and  the benefits deferred bonuses

 

GRC Professional Podcast · More Transparency around Remuneration

 
Recently Professor Sheedy co-authored  paper titled
Deferred pay: compliance and productivity with self-selection which found that the introduction to deferrals will reduce instances of misconduct with monitoring. 

According to the Abstract:


This study investigates deferred payment mechanisms through experiments in student and professional samples, taking account of self-selection effects.

Professor Elizabeth Sheedy wrote in a linked in post:

Deferred bonuses produce better conduct. This is to be expected because over time, misconduct is much more likely to be discovered. People behave better if they think they are likely to be caught. But the financial services industry has been very concerned about how deferrals would hurt their chances of recruiting and retaining talent.

Click here to read Deferred pay: compliance and productivity with self-selection