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Empresas y finanzas

SEC gives shareholders say-on-pay vote


    WASHINGTON (Reuters) - Shareholders of publicly listed companies will get to weigh in on executive compensation through advisory votes, under a new rule adopted by U.S. securities regulators on Tuesday.

    The "say-on-pay" rules, approved in a 3-2 vote by the Securities and Exchange Commission, would implement a provision in the Dodd-Frank Wall Street reform law.

    It is designed to give shareholders greater input over executive compensation after many expressed outrage during the financial crisis at lavish pay practices.

    The say-on-pay vote is non-binding, although companies generally want to avoid the embarrassment of a "no" vote.

    Shareholders would also get to vote on certain so-called "golden parachute" pay packages in connection with a merger or acquisition, and companies would be required to make additional disclosures about such compensation arrangements.

    Republican commissioners dissented on the rule in part because it only gives a temporary exemption to small public companies.

    (Reporting by Sarah N. Lynch; Editing by Tim Dobbyn)