“The last three years have seen greater scrutiny of the independence, preparedness, and composition of the board, as companies have weathered a pandemic, witnessed a series of high-profile cases, experienced digital and other business transformations, and the ESG (environmental, social, and governance) movement,” says Tan on Jan 11, a day after the nine-year cap announcement was made.
Singapore Exchange Regulation (SGX RegCo) says it will limit the tenure of independent directors (IDs) serving on the boards of listed issuers to nine years. Some years in the making, the requirement might spark a so-called “great resignation” in boardrooms across the listed entities.
Tan Boon Gin, CEO of the Singapore RegCo, says he has no problem with the “great resignation” provided a “great recruitment” happens simultaneously, resulting in the appointment of many new directors and the renewal of boards in the process.
