ANALYSIS: A New SEC Human Capital Rule Is Coming—So Is Pushback

The rise of ESG over the past several years has cemented investor interest in incorporating environmental and social impacts into the financial investment equation. Next year, human capital management will be at the forefront of the conversation, and we’ll see investors looking for more disclosures to ensure that they are investing in companies that align with their values.

The current rumblings of a new, clarified version of the 2020 rule on human capital management are likely to transform into a final rule that provides investors with more clarity into human capital management. The new rule, however, may be just as ...