Increased link between executive pay and company performance

The link between executive pay and company performance has become stronger in the past few years.

That is according to a new report released by PwC. The study revealed that the link between executive bonuses and company performance has improved since 2012.  

That was when the government announced proposals for better disclosure of senior pay. PwC also revealed that the correlation grew more pronounced after 2013 and 2014, when the requirements came into force.

Zero per cent would suggest no correlation between pay and performance. 100% would suggest a full link.