Good news from Germany may seem a bit scarce right now, but there are some bright spots on the corporate governance front. A survey on directors' pay at the Dax 30 listed companies, commissioned by the DSW shareholders' association, revealed not a single incident of boardroom remuneration rising as earnings per share were falling. The previous year there had been five such sinners.
There are still some quibbles though. As DSW points out, management board members' compensation at Volkswagen fell only a measly 2.3 per cent in 2004, while earnings tumbled 31 per cent. Seen through German eyes, the 60 per cent pay rises at ThyssenKrupp appear difficult to justify when ordinary workers are facing pay freezes or cuts, even if earnings per share were up by a similar amount.
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