BHP’s pay plan forges dual path to sustainability

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BHP’s pay plan forges dual path to sustainability
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Greener giant: BHP is making sustainability pay, says ClaraMarquesRTR

BHP said in a notice to shareholders on Sept. 5, ahead of annual general meetings in London and Sydney, that it would propose changes to remuneration for its chief executive, including a reduction of the long-term incentive plan, a longer-term deferral of benefits and a smaller pension rate. It will also introduce a two-year post-retirement contribution shareholding requirement.

The change also includes an increased weighting for climate-related targets, which will also be made more specific and transparent from July 2020. BHP on July 23 announced a five-year, $400-million climate investment programme to develop low-carbon technology, aimed at reducing emissions from its own operations and those generated from the use of its resources.

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