Friday, August 28, 2015

Community Banks Can Ride Out CEO Pay Rule

A new rule requiring public companies to disclose the pay relationship between chief executives and median employees will serve as lightning rod for public debates about income disparity and executive compensation. The good news for community and smaller regional banks is that their pay ratios will tend to be relatively moderate, allowing them to fly under the radar.

The Securities and Exchange Commission has provided a lengthy lead time for companies to implement the rule, which will begin to be enforced starting in 2018.

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