SEC Enforcement Chief Pushes to Improve Staff Diversity

The Securities and Exchange Commission enforcement division is working to further diversify its staff as the agency under Chairman Gary Gensler considers requirements for companies to boost their workforce diversity reporting.

SEC enforcement director Gurbir Grewal told the Practising Law Institute conference on Friday that diversity, equity and inclusion is an “essential” priority for his unit, which has more than 1,300 positions.

“We are engaged in a continuous process of self-evaluation to ensure that our hiring and promotion practices are fair, equitable, and structured to identify and reward contributors who bring to the job a variety of backgrounds and experiences,” Grewal said.

Grewal’s remarks comes as the SEC mulls diversity and inclusion reporting standards under new rules that could require companies to publicly disclose more details and statistics about how they classify and pay their employees. A proposal is expected by the end of the year.

• The SEC’s enforcement unit wants to add 125 new staff positions in its fiscal year 2023 budget request, according to a recent report.
• “In so many contexts, we’ve learned over and over again in recent years that inclusion and equity require tangible measures, broadening of perspectives, and accountability, not just good intentions,” Grewal said.