Remuneration of directors and sustainable success: some reflections

The paper revolves around the intersection of directors’ remuneration and sustainable success, exploring the intricate link between these two domains. Following a brief overview of the relevant EU and Italian provisions on the subject, the paper shows that, at least in theory, remuneration policy can function as a concrete and effective tool for advancing business sustainability objectives, providing a means to give greater substance to sustainability-related issues, which are often vague and overly generic. Nevertheless, a number of challenges and critical issues emerge – both at the level of positive law and in terms of practical implementation. This demonstrates that the integration of sustainability into executive compensation is not only unresolved, but also fraught with tensions that require deeper conceptual and regulatory clarification.