Appointment Letter For Non-Executive Independent Director SBB

What is Appointment Letter For Non-Executive Independent Director?

There are instances when the company’s internal board of directors are unable to make certain decisions or lay effective policies in such a case a non-executive director is appointed. A non-executive director is not part of the day-to-day management but contributes in making policies and taking strategic decisions.

When a company appoints a non-executive independent director an appointment letter that outlines the terms & conditions of the role and the said duties are given to confirm the appointment. It is therefore imperative to chalk out the roles and responsibilities of the non-executive director including their remuneration & reimbursement as well as access and decision-making powers.