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SEC Pressured to Finalize Pay-Ratio Rule

Joe Mont | September 22, 2014

In recent Congressional testimony, Securities and Exchange Commission Chair Mary Jo White was optimistic that a final version of the controversial pay-ratio rule could be ready by the end of the year. Nevertheless, Americans for Financial Reform, a prominent advocacy group and coalition of Wall Street watchdogs, is demanding action.

In Sept. 2013, the SEC proposed a rule that would require companies to disclose a comparison of their CEO pay to that of the median employee. Under that proposal, companies need to produce a median compensation figure for all workers, domestic and overseas. Whether good news or bad depends on your perspective, but expect the final rule to arrive soon...

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