Bloomberg Law
Aug. 25, 2022, 9:53 PM

Top Executives Face More Scrutiny Over Pay in New SEC Rule (2)

Lydia Beyoud
Lydia Beyoud
Bloomberg News

Pay for top executives at US companies will face more scrutiny under a new rule from the Securities and Exchange Commission.

Publicly traded firms will have to disclose additional details about how senior managers are paid, including performance incentives, the SEC said on Thursday. The regulation, which had long been delayed, aims to clarify ways that company’s financial performance impacts an executive’s pay, according to the agency.

Shareholder advocates have for years sought greater disclosure around executive pay, arguing that it should correspond to how well a firm is performing financially. Disclosures, they say, typically don’t provide enough detail ...

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