The Securities and Exchange Commission has approved “say-on-pay” rules, Reuters reports. Under the rules, shareholders of publicly listed companies will get to have a say on executive compensation through advisory votes.
Shareholders will also be able to vote on certain ‘golden parachute’ pay packages in connection with a merger or acquisition. Companies will have to make additional disclosures about such compensation arrangements. The new rules are part of a provision of the Dodd-Frank reform law.
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