REL 0811 Study Guide - Quiz Guide: Consumer Financial Protection Bureau, Robert Reich, William Lazonick
22 Oct 2017
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Beyond fairness skyrocketing ceo pay is bad for our economy. This week marks the 5th anniversary of the dodd-frank wall street reform and. From 1978 to 2014, executive compensation at american firms rose 997 percent, compared with a sluggish 10. 9 percent growth in worker compensation over the same period. While ceo pay continues its determined ascent up a seemingly limitless mountain of stock options and other performance pay, the sec has yet to implement all of the dodd- Frank rules designed to reform ceo pay practices. The say-on-pay provision, which allows shareholders an advisory vote on proposed executive compensation packages, has been in effect since 2011, and section 954 the clawbacks provision should soon be finalized. But the sec continues to delay the disclosure rule on ceo worker pay gaps, as well as a few other key provisions. We have to stop talking about the ceo pay issue in terms of fairness, which usually leads to accusations of envy.
