By Greg Daugherty on On our companion blog — Federal Securities Law Blog – Andrew Trafford describes the Securities and Exchange Commission’s recently proposed CEO pay ratio rule. This rule comes from Section 953(b) of the Dodd-Frank Wall Street Reform and Consumer Protection Act. In a nutshell, this rule generally requires public companies to disclose in their proxy statements the ratio of the compensation (as defined in Item 402(c)(2)(x) of Regulation S-K) of the median-compensated employee in the company to the compensation of the company’s CEO.
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