After years of wrangling, a controversial rule requiring thousands of public U.S. companies to share how much more their chief executives earn than their typical rank-and-file employees went into effect this year. The "pay ratio" disclosure threatens to put a spotlight on a potentially embarrassing disparity that many companies have long fought to obscure.
The Securities and Exchange Commission finalized the rule in 2015 after receiving thousands of public comments. On Monday, the agency's acting chairman said it was time to reconsider.
"It is my understanding that some [companies] have begun to encounter unanticipated compliance difficulties that may hinder them in meeting the reporting deadline," Michael Piwowar, who voted against the initial rule, said in a statement.
"I have also directed the staff to reconsider the implementation of the rule based on any comments submitted and to determine as promptly as possible whether additional guidance or relief may be appropriate."
The move by Piwowar is just the latest sign that many of the rules put in place by financial regulators under the Obama administration may now be in danger.
On Friday, Trump signed an executive order asking for a review of the laws and regulations that govern the U.S. financial system in an opening bid to upend 2010's financial overhaul law, known as Dodd-Frank. That effort is expected to ignite a protracted battle on whether efforts to rein in Wall Street after the financial crisis went too far -- or not far enough.
Democrats are preparing for a battle over President Trump’s push to dismantle the Dodd-Frank financial reform law, which analysts said will be difficult to accomplish without bipartisan support.
House Democratic Leader Nancy Pelosi vowed Monday to take the case to the public to try to build opposition...
Democrats are preparing for a battle over President Trump’s push to dismantle the Dodd-Frank financial reform law, which analysts said will be difficult to accomplish without bipartisan support.
House Democratic Leader Nancy Pelosi vowed Monday to take the case to the public to try to build opposition...
Forcing companies to disclose the pay ratio between CEOs and employees was one of the most controversial aspects of Dodd-Frank and a victory for Democrats and labor groups. But business groups have argued the rule is cumbersome and unnecessary.
Piwowar, a Republican, was appointed to the agency's commission by President Obama in 2013. President Trump appointed him acting chair last month. He replaced Mary Jo White, who stepped down upon Trump's inauguration.
But Piwowar's time at the top is not expected to last long. Trump has nominated Wall Street lawyer Jay Clayton to head the SEC. The Senate has not yet scheduled Clayton's confirmation hearing.
Trump's travel ban is likely to head to the Supreme Court, the most controversial ad of the Super Bowl, California's gearing up to fight the Zika virus, and prosecutors have charged an L.A. County jail guard with assault.
Trump's travel ban is likely to head to the Supreme Court, the most controversial ad of the Super Bowl, California's gearing up to fight the Zika virus, and prosecutors have charged an L.A. County jail guard with assault.
Trump's travel ban is likely to head to the Supreme Court, the most controversial ad of the Super Bowl, California's gearing up to fight the Zika virus, and prosecutors have charged an L.A. County jail guard with assault.
Trump's travel ban is likely to head to the Supreme Court, the most controversial ad of the Super Bowl, California's gearing up to fight the Zika virus, and prosecutors have charged an L.A. County jail guard with assault.
Abdullah Al-Rifaie, an Iraqi student, gains U.S. reentry after the court stay of President Trump's travel ban from seven Middle Eastern, predominantly Muslim countries.
Abdullah Al-Rifaie, an Iraqi student, gains U.S. reentry after the court stay of President Trump's travel ban from seven Middle Eastern, predominantly Muslim countries.
Black holes are extremely compact and dense, generating incredibly powerful gravitational forces. Here is a quick look at at XJ1500+0154 from the Chandra X-ray Observatory.
Black holes are extremely compact and dense, generating incredibly powerful gravitational forces. Here is a quick look at at XJ1500+0154 from the Chandra X-ray Observatory.
Jarin Islam of the Wilshire Center-Koreatown Neighborhood Council joins other community advocates and leaders for a news conference and solidarity rally with the Muslim community of Los Angeles.
Jarin Islam of the Wilshire Center-Koreatown Neighborhood Council joins other community advocates and leaders for a news conference and solidarity rally with the Muslim community of Los Angeles.
3-year-old filly is impressive
3-year-old filly is impressive
Merle writes for the Washington Post.
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