More than two-thirds (67.8%) of Singapore-listed companies (listcos) have disclosed their board directors’ exact remuneration as at Dec 31, 2024, after the Singapore Exchange (SGX) made this mandatory in January 2023.
This is more than double the 27.8% observed in end-2022, according to the latest edition of the Singapore Directorship Report, a biennial analysis by the Singapore Institute of Directors (SID) and academics.
The sixth edition of SID’s report, released Nov 4, analysed annual reports by 615 local listcos. On the topic of director remuneration, the report found that the proportion of firms that did not disclose any remuneration information fell to 9.4% in end-2024 from 14.2% in end-2022.
“While this marks progress, a segment of firms remains slow to adapt,” say the report’s authors. “Nonetheless, full compliance is expected to improve as stakeholders, including boards and shareholders, become more familiar with the updated requirements.”
According to SGX Listing Rules, listcos must disclose in their annual report the policy and criteria for setting remuneration, as well as names, amounts and breakdown of remuneration of each individual director and their CEO.
See also: Fewer long-serving directors on SGX listcos with nine-year cap in place: SID
In addition, listcos must at least disclose the remuneration of their top five key management personnel (who are not directors or the CEO) in bands no wider than $250,000 and, in aggregate, the total remuneration paid to these key management personnel.
The new rule, following a public consultation launched in October 2022, takes effect for annual reports prepared for financial years ending on or after Dec 31, 2024.
The telecommunications sector leads in compliance, with the highest proportion of firms fully disclosing individual director remuneration, followed by REITs, consumer non-cyclicals and financial services.
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However, non-disclosure remains an issue in several sectors. The energy/oil and gas (25.8%), financial services (17.2%) and technology (14.3%) sectors exhibit the highest proportion of firms that did not provide any director remuneration disclosure.
Firms in the financial services sector have one of the highest rates of detailed disclosure.
“These gaps suggest that while progress is evident, sector-specific challenges, such as complex group structures, or delays in implementation may be impeding full compliance in certain industries. Ongoing monitoring and investor engagement will be key to closing these gaps,” says SID.
The report identified 415 director-CEOs among listcos. 287 firms disclosed the exact remuneration of their directors who are also CEOs, and 38.3% of these CEOs are compensated more than $1 million.
‘Line-by-line clarity’
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The Singapore Directorship Report examines the degree of compliance with key principles and provisions of the Singapore Code of Corporate Governance (revised in 2018) and the SGX Listing Rules that pertain to boards and directors.
The 2025 edition covers a total of 615 firms listed on SGX as at end-2024. This includes 569 companies, 24 REITs and 22 business trusts. The firms spanned 12 industry classifications.
The Monetary Authority of Singapore announced in May that it is planning a review of the Code of Corporate Governance to enhance corporate governance practices and disclosures.
Hence, for the first time, the latest edition includes “reflections on the possible directions that the revised CG Code could take” in a commentary following each chapter of SID’s 112-page report — “particularly on board independence, board renewal, director remuneration and board diversity”.
SID says “there remains limited visibility” into how remuneration is structured and how it aligns with performance outcomes.
“The OECD Principles explicitly call for disclosure of board and key executive remuneration policy, value and structure; tying narrative clarity to investor support. Boards should take the opportunity to provide more line-by-line clarity,” says SID.
This would mean disclosing the breakdown of pay into fixed, variable, equity-based, benefits, pensions and one-off elements.
Illustrating “pay versus performance” would also require boards’ remuneration committees (RCs) to explain the performance metrics attached to variable pay, their relative weightings, and how actual outcomes compared to targets.
Where discretion is exercised by the RC, the board should explain the basis for this and how it aligns with long-term interest, says SID.
“With the coming into force of the SGX Listing Rule requiring full director and CEO remuneration disclosure, perhaps a more detailed comprehensive study on this issue can provide us with a better picture of the state of remuneration disclosure in Singapore,” adds SID.
Tables: SID
Read more from SID’s Singapore Directorship Report 2025:
Fewer long-serving directors on SGX listcos with nine-year cap in place: SID
