Curbs on CEO pay, laws requiring worker representatives on company boards? Sounds as if incoming British prime minister Theresa May wants Euro policy despite Brexit [Sam Bowman, Telegraph]:

Take worker representation on company boards. It sounds fair, if worryingly European, but can backfire badly.

Volkswagen’s board turned toxic when its former chairman allied himself with workers’ representatives to block layoffs and wage cuts at the firm’s notoriously inefficient main factory in Wolfsburg, in exchange for support on other issues. In the wake of the carmaker’s costly emissions scandal, a former supervisory board member said in a newspaper interview that “it just killed the board as a place of proper discussion”.

Filed under: corporate governance, United Kingdom