This article was originally published by AgendaWeek.
As companies accelerate their AI strategies, boards are rethinking compensation to attract top-tier tech talent, often competing with the high-paying, innovative cultures of Big Tech and startups. A recent report by Compensation Advisory Partners highlights how AI-related spending has surged—not only in infrastructure but also in people—with compensation packages increasingly requiring board-level approval. Bashar Kilani, Managing Partner at Boyden UAE, emphasized that boards must be prepared to offer customized packages that may exceed traditional C-suite norms, including equity grants, retention bonuses, and long-term incentives aligned with tech-sector benchmarks. However, these moves come with risks: bringing in highly paid new hires can create tension with existing employees who aren’t receiving similar rewards.
Directors are urged to strike a balance between the cost and strategic value of AI investments while addressing internal equity and governance. Kilani also noted that beyond competitive pay, elite AI professionals are increasingly drawn to organizations with visionary leadership, strong data infrastructure, and the opportunity to make meaningful impact. He recommended companies clearly communicate their AI strategies and ethical guidelines to attract top candidates and reassure investors focused on transparency. With rising scrutiny around AI governance, boards must look internally to assess whether existing talent can be upskilled, and define clear oversight roles to maintain stakeholder confidence and organizational cohesion.
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