Our Board is comprised of experienced directors who offer a broad range of experience and skills that include: risk management, financial expertise, experience dealing with large, complex multinational organizations, scientific and technical expertise, operations, have led as chief executive officers of publicly listed companies, and who are independent. Our Board provides the highest level of oversight of our organization through four independent committees:
Committee composition and charters may be found online here.
Our Board of Directors is comprised of 11 directors, including our Chairman and Chief Executive Officer. The Board has 10 independent directors as defined by NASDAQ, including an independent Lead Director.
Board Diversity: While we do not have a formal policy regarding Board diversity, the Board recognizes the value of gender and ethnic diversity and is proud that 30% of our independent directors are diverse, including two women board members and one minority board member. When considering Director candidates, the Board additionally focuses on ensuring the appropriate combination of professional experience, skills, and perspectives that meet our current and expected future needs.
Our governance framework can be found in our Governance section online here as well as in our Proxy Statement (PDF). Key policies addressing these important governance-related topics are provided on this site:
|Size of Board||11||Code of Ethics for Directors, Officers & employees||Yes|
|Number of Independent Directors||10||Number of fully independent Board committees||4|
|Average age of Directors||62||Director attendance at Board & committee meetings||>75%|
|Percent diverse (Independent Directors)||30%||Board meetings held in 2018||5|
|New Directors in the last 5 years||3||Independent Directors meet without management||Yes|
|Average tenure (years)||11.2||Stock ownership requirements for Directors||Yes|
|Mandatory retirement age (75)||Yes||Annual Board & committee self-assessments||Yes|
|Directors over boarded per ISS or GL||No||Succession planning & implementation process||Yes|
|Lead Independent Director||Yes||Director onboarding & continued education||Yes|
|Annual election of Directors||Yes||Material related party transaction with Directors||No|
|Majority voting policy for Directors||Yes||Board oversight of Company Culture||Yes|
|One share, one vote policy||Yes||Board review of environmental & risk management||Yes|
|Frequency of say-on-pay advisory vote Annual||Annual||Shareholder engagement||Yes|
|Compensation Practices:||Key Policies & Environmental Goals:|
|Pay for performance||Yes||Employee Code of Conduct||Yes|
|Compensation aligned with strategic goals and individual performance||Yes||Human Rights Policy||Yes|
|Excessive perks||No||No Harassment Policy||Yes|
|Robust stock ownership guidelines for named executive officers||Yes||Anti-Corruption Policy||Yes|
|Claw back pay policy||Yes||Supplier Code of Conduct||Yes|
|Double-trigger change-in-control provision||Yes||Environmental, Health & Safety Policy||Yes|
|Anti-hedging and Anti-pledging policy||Yes||Environmental and Safety goals||Yes|
Lincoln Electric was named one of the 2019 World's Most Ethical Companies® by The Ethisphere Institute.
We were the only honoree in the Machine Tools & Accessories industry, underscoring our commitment to leading with integrity and prioritizing ethical business practices.