Giving shareholders a say on pay

IN A market that operates on the principle of “caveat emptor’’ or “buyer beware’’, why not grant buyers (ie shareholders) a say in how much their managers are paid?

It’s certainly an interesting question to ponder, given that several developed markets have, in some form or other, incorporated “Say on Pay’’ in their governance rules.

Corporate governance advocates here would say “yes’’ to such a proposition, given the seemingly exorbitant salaries being doled out, especially by small-to-mid-sized companies.