New rules make it harder to find supervisory board members

Rules limiting the number of supervisory board positions a single individual may hold are making it harder for family firms and public sector companies to find properly qualified people, the Financieele Dagblad says on Thursday.

The rules, introduced at the beginning of this year, limit the number of supervisory board jobs to five and this means heavyweights are either giving up jobs or are ‘full’, the FD says. Board chairmanship counts as two positions in the new system.

The limit has applied to stock exchange-listed companies for a longer period.

Experts at a congress on the Dutch regulatory climate told the paper people are now more likely to opt for supervisory jobs at prestigious firms, or which pay well.

‘It will be more difficult to find people to fill supervisory boards at hospitals, housing corporations and school groups,’ says Olaf Smits van Waesberghe, director of a foundation which helps find regulators.

For example, the new rules led ING supervisory board member Henk Breukink to give up his membership of the board at two healthcare groups, the FD says.

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