Company: ADP
Filing Date: 2025-09-25
Form Type: DEF 14A
Source: 0001308179-25-000607
Chunk: 51

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-09-25
Form: DEF 14A
Chunk 51
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 target total direct compensation (base salary, cash bonus and long-term incentive awards) for fiscal year 2025 was designed to deliver the following approximate proportions of total compensation to Ms. Black, our chief executive officer, and the other NEOs if company and individual target levels of performance are achieved. The target pay mix below reflects the PSU target award based on the three-year target opportunity. Ms. Black’s higher proportion of at-risk compensation reflects her greater responsibility for overall company performance. Compensation Consultant The committee has engaged FW Cook to provide assistance with the design of our compensation programs, the development of comparative market-based compensation data, and the determination of target compensation awards for the chief executive officer. The specific matters on which FW Cook provided advice in fiscal year 2025 were the market trends and regulatory developments in executive compensation and the design of executive compensation programs and practices, including the changes to the pay levels of the chief executive officer, as well as reviewing long-term incentive guidelines for all eligible levels. In June 2024, FW Cook delivered to our committee the results of a competitive assessment of compensation for use in determining fiscal year 2025 target compensation for our chief executive officer Ms. Black. FW Cook also examined the mix of proposed PSU awards and RSU grants for our NEOs for fiscal year 2025 and confirmed that the proposals for the NEOs were reasonable and appropriate, given the company’s size and structure. In addition, in January 2025, FW Cook reviewed the company’s executive compensation peer group and recommended no changes to the peer group for fiscal year 2026. As part of its ongoing support to the committee, FW Cook also reviews executive compensation disclosures (including this CD&A), reviews and provides comments on changes to the committee’s charter, advises on emerging trends and the implications of regulatory and governance developments, and reviews and provides commentary on materials and proposals prepared by management that are presented at the committee’s meetings. In addition, our nominating/corporate governance committee engaged FW Cook to review the design and competitiveness of our non-employee director compensation program.

| Automatic Data Processing, Inc. – Proxy Statement | | | 50 |

| Compensation Discussion and Analysis |

The committee determined that the work of FW Cook did not raise any conflicts of interest in fiscal year 2025. In making this assessment, the committee considered the independence factors enumerated in Rule 10C-1(b) under the Securities Exchange Act of 1934, as amended, and applicable Nasdaq listing standards, including the level of fees received from the company as