Disclosure of Remuneration Policies in GRI-Aligned Sustainability Reports

This study applies a content analysis methodology to investigate the extent of remuneration disclosures by non-renewable energy companies listed on Euronext that report in alignment with the Universal Standards of the Global Reporting Initiative. Reporting published by 22 European firms for the years 2020, 2021, and 2022 was analyzed to examine its compliance with 17 specific disclosure requirements of the GRI 2016 Universal Standards and GRI 2021 Universal Standards. The results indicate that the majority of companies in the sample met requirements for disclosures on whether executive pay is linked to sustainability objectives and performance but often omitted certain information on how remuneration is determined and on specific remuneration policies. Companies’ reporting generally improved over time and with the adoption of the new GRI 2021 Universal Standards. This study sheds light on the areas of GRI reporting in which firms tend to fail to meet requirements and characterizes the state of reporting on executive compensation overall.