Saturday, Dec 03, 2016
One of America's Great Newspapers ~ Toledo, Ohio

Business

FDIC backs measure to curb bank execs' pay

WASHINGTON — The Federal Deposit Insurance Corp. board has voted 5-0 for a measure to require financial firms to limit and defer executive compensation to curb the risk-taking blamed for sparking the credit crisis.

The proposal is to compel firms to spread at least 50 percent of incentive-based pay over at least three years and to subject packages to possible cuts for company losses.

Dodd-Frank, the regulatory overhaul enacted in July, directed agencies to rein in executive pay after losing bets by financial firms sparked the worst financial crisis since the Great Depression. The proposal would align the United States with international standards by requiring firms with at least $50 billion in assets to defer pay for executive officers.

The proposal is subject to approval of the Securities and Exchange Commission, the Federal Housing Finance Agency, and the five agencies that make up the Federal Financial Institutions Examination Council before it can be released for public comment.

Click to comment

Quis autem vel eum iure reprehenderit qui in ea voluptate velit esse quam nihil molestiae consequatur, vel illum qui dolorem?

Temporibus autem quibusdam et aut officiis debitis aut rerum necessitatibus saepe eveniet.

Copyright © 2015 Toledo Blade

To Top

Fetching stories…