Abstract
Over the years, the increase in executive remuneration in state-owned entities
(SOEs) has been the subject of intense discussions. The poor performance of some SOEs with
highly remunerated executives begs the question of whether chief executive officers in South
African SOEs deserve the high levels of remuneration they receive.
Research purpose: This study examined the relationship between chief executive remuneration
and several measures of company performance across Schedule 2 SOEs within South Africa.
Motivation for the study: Notwithstanding the widely publicised poor performance of South
African SOEs, their importance and relevance remains evident. Regrettably, the literature on
what fundamentally drives their performance is lacking...