A FTSE100 Deputy Company Secretary writes...
Does anyone have a separate expenses policy for Directors (including non-executive directors)? And does anyone provide guidance on what is considered to be ‘reasonable’ expenses? If anyone is willing to share anything confidentially, I would be quite interested to see.
(As ever, I would be happy to pass on anonymised documents – David Mensley)
We don’t have a separate policy and require our NEDs to follow the same expenses policy we have in place for our employees.
We don’t have a separate policy. Our company likes to keep things short and simple, and for common sense to apply. So there’s just a statement in the NED appointment letters as follows:-
“In addition [to NED fees], the Company will reimburse you for all expenses reasonably incurred by you in the proper performance of the duties of your office, provided that on request you provide the Company with such vouchers or other evidence of actual payment of such expenses as the Company may reasonably require.”
The service contracts for the executive directors have a similar statement.
We do have a policy (approved annually by the remuneration committee) of who “signs off” expenses claims