The European Parliament in Strasbourg today approved the Shareholder rights directive, which sets new rules for investors and listed companies in Europe. It puts the interests of the long-term economy ahead of financial players just looking to make a quick buck. It will help to improve stability, increase corporate transparency and boost long-term investment.
S&D MEP Sergio Cofferati, who authored the report for the Parliament, said:
“The agreement on the Shareholder rights directive approved today by the European Parliament is very positive. The measures agreed upon will help steer investments towards a more long-term approach and will ensure more transparency for listed companies and investors. The directive will guarantee stronger controls by shareholders over the remuneration of listed companies’ directors, a closer link between directors’ pay and companies’ performances over a greater period and full transparency on the remuneration awarded to individual directors. The new law will also foster shareholder engagement, by defining effective transparency provisions for institutional investors and asset managers.”
Sylvia-Yvonne Kaufmann MEP, S&D spokesperson for legal affairs, added:
“These measures put the interests of the economy in the long-term ahead of financial players looking to make a quick buck. They go hand-in-hand with new measures to fight tax evasion and tax avoidance. Thanks to the European Parliament’s efforts on tax transparency in this directive, the European Commission proposed new legislation on public country-by-country reporting by multinationals. This is key in the battle for tax transparency, ensuring companies pay tax where they make their profits. We will fight Conservative resistance on this and make sure we have real tax transparency in Europe.”