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Thu September 19, 2013
SEC Wants Companies To Disclose CEO-Worker Pay Ratio
Originally published on Thu July 3, 2014 1:27 pm
The Securities and Exchange Commission has proposed a rule that would require publicly traded companies to disclose the difference in pay between the company’s CEO and its employees.
The rule is applauded by unions and labor advocacy groups that think the transparency would help investors “identify top heavy compensation models,” according to Reuters. However, business groups oppose the measure.
- Charles Elson, professor of finance, chair in Corporate Governance and director of the John L. Weinberg Center for Corporate Governance at the University of Delaware.