Regulatory Alerts2022-02-02 | 2022-02024Added · Updated
Reopening of Comment Period for Pay Versus Performance
The Securities and Exchange Commission is reopening the comment period for its proposed rules implementing Section 953(a) of the Dodd-Frank Act, which require registrants to disclose the relationship between executive compensation actually paid and financial performance. The Commission is seeking further input on the original proposal and considering additional requirements, such as mandating the disclosure of pre-tax net income, net income, and a company-selected performance measure alongside total shareholder return. Comments on the proposed rules must be received by March 4, 2022, to allow stakeholders to analyze developments in executive compensation practices since the initial 2015 release.
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