Two agents sequentially contracts with different principals under moral hazard. If agents care for one another, the second principal gains by insuring them over first wages. Even with independent tasks, the first principal must offer riskier payments to induce effort.

The AFEP-MEDEF corporate governance code amended in 2013 introduces the say on pay principle, which grants shareholders the right to vote on executive remuneration at annual general meetings. This paper aims at reviewing the studies undertaken in countries that have established this principle...