John Morstad/The Globe and Mail
Laurentian Bank shareholders have voted almost unanimously in favour of the way top executives are paid in a non-binding "say on pay" vote at its annual general meeting.
Shareholders voted 99.1 per cent in favour of the bank's executive compensation proposals.
They are the third group of Canadian bank shareholders to vote in favour of the schemes, under which they can approve or disapprove of the way a bank plans to pay its top people.
All of Canada's big banks have agreed to carry out non-binding votes that will guide their board of directors, who will continue to make the final decision on how much executives get paid.
So far, two of them have held votes - CIBC and Royal Bank of Canada - with both approving the way the banks compensate their CEO and top executives. The other big banks will hold similar votes, along with some major financial firms.
The banks have said that even though the votes are not binding, they will do their best to follow the wishes of shareholders.
"Compensation management is an art that is extremely difficult to master," board chairman Denis Desautels told shareholders at Laurentian's annual meeting.
"However we are convinced that the programs presently in place meet both shareholder objectives and those of the bank and its executive officers."
Bank executive pay has been a big issue over the past year, especially in the United States where some top people were paid exorbitant sums even though their banks collapsed or had severe financial difficulties.