Press Release: Corporate governance framework for European companies: what needs to be improved?

One of the lessons of the financial crisis is that corporate governance, until now usually based on self-regulation, was not as effective as it could have been. It is important that companies are better run. If companies are better run, not only is a future crisis less likely but they should also be more competitive. The European Commission has launched a public consultation that addresses the ways in which corporate governance of European companies can be improved. Corporate governance is traditionally defined as the system by which companies are managed and controlled. The consultation covers a number of issues such as how to improve the diversity and functioning of the boards of directors and the monitoring and enforcement of existing national corporate governance codes, and how to enhance the engagement of shareholders. The deadline for submitting contributions in response to the consultation is 22 July 2011.

European Commission: Memo/11/218: Frequently Asked Questions: Consultation on the EU corporate governance framework http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/11/218&format=HTML&aged=0&language=EN&guiLanguage=en

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