Lobbyists Beat Back CEO Pay-Ratio Rule

The Washington Post takes an in-depth look at the pay-ratio provision of Dodd-Frank and its shaky prospects for implementation. It would require public companies to disclose the CEO’s total compensation, the median compensation of all other employees and the ratio between the two. Lobbyists contend the calculation would be complex and expensive, and that there has been a demonstrable lack off interest in this kind of information from shareholders. These arguments and others, seasoned with the threat of lawsuits, have kept the provision bottled up for nearly three years. With a new SEC commissioner and unions and others weighing in, what’s next?