20th Annual Turnaround and Transformation Survey
Navigating a high-stakes restructuring leads to intensified scrutiny and pressure. Every move has an outsized impact, and the urgent task is to preserve value. Executive compensation is a powerful tool for managing the turbulence.
The key to a successful restructuring lies in the expertise, skill, and stability of company leadership, so crafting top-tier retention and incentive plans is vital. Our team of compensation experts understands how to strategize and retain talent, as well as incentivize them to perform at their best, even through the turbulence of a transition. Whether implemented before, during, or after a restructuring, each plan is informed by our colleagues’ deep experience working to align management and other key stakeholders to drive overall value creation.
We advise on Advanced Paid Retention, Key Employee Incentive Plans, and Key Employee Retention Plans, and Management Incentive Plans (MIP), and have a slate of expert witness and testimony services to see you through to the next phase.
How we can help
Advance Paid Retention
A cash tool for ensuring key employees accomplish set milestones.
Modification of Existing Programs
Existing plans, modified to continue to operate in the ordinary course during Chapter 11, sometimes including plans that pay out quarterly to allow for flexibility to update goals.
Key Employee Incentive Plan (“KEIP”)
Incentives for “insiders” with payout based on their achievement of challenging goals.
Key Employee Retention Plan (“KERP”)
Pay-to-stay plans paid to “non-insiders” either quarterly or at end of the case, as long as the participant remains employed.
Management Incentive Plan (MIP)
A share scheme to reintroduce equity incentives.
Executive Compensation Design
Tailor the overall executive compensation plans according to the organization’s long-term plans and ground packages in market data to attract top talent.
Expert Testimony
Available for each type of compensation plan, alongside foundational support in the form of executive compensation databases for comparable companies (whether by size, industry, or otherwise).
