November 09, 2006
Hold on to our Wallets Executives, Dems want more say on your pay!
With the so called "thumping" (per President George Bush) that the Republicans got in the mid term elections, the Dems are already signalling that they will be less kind and gentle to business.
An excerpt from the Miami Herald today has an interview with the incoming Chairman of the powerful House Financial Services Committee , Barney Franks. Franks says some of his first orders of business are executive compensation review.
"Among his promises: to scrutinize executive pay and work for consumers.
Frank, 66, the Massachusetts Democrat, also said he would focus on creating more affordable housing and correcting economic inequalities..."
"Frank said he expected federal regulators to ease some of the costs of complying with the 2002 Sarbanes-Oxley corporate governance law, which set tougher civil and criminal standards for public company accounting."
So it remains unclear with the new democratic majorities in the House and Senate, what will make the list for real action. SOX is currently being tackled by the SEC and PCAOB, so those actions will most likely be allowed to run their course first.
The danger with the Dems is that they have their eye on the White House for 2008, so that executive compensation may become a high priority so that the "common man" can feel that executives are not being treated better than they are. Oh my!
If only, running a public company were so easy that anyone could do it then, we could pay top executives minimum wage. But that is not the case. So look out the Dems may not be too business friendly. Senators such as Hilary Clinton have proven records, back to Bill Clinton's Arkansas days, of anti business agendas.
Stay tuned for more.
If your company is public in the US or Canada and wants to comply with Sarbanes-Oxley or MI 52-109 cost effectively, see http://www.issuescentral.com/ to learn more about Compliance Playbook®. For companies based in Canada listed on Canadian or US exchanges, see http://www.compliancepartner.ca/ to learn more about Compliance Partner(tm).
An excerpt from the Miami Herald today has an interview with the incoming Chairman of the powerful House Financial Services Committee , Barney Franks. Franks says some of his first orders of business are executive compensation review.
"Among his promises: to scrutinize executive pay and work for consumers.
Frank, 66, the Massachusetts Democrat, also said he would focus on creating more affordable housing and correcting economic inequalities..."
"Frank said he expected federal regulators to ease some of the costs of complying with the 2002 Sarbanes-Oxley corporate governance law, which set tougher civil and criminal standards for public company accounting."
So it remains unclear with the new democratic majorities in the House and Senate, what will make the list for real action. SOX is currently being tackled by the SEC and PCAOB, so those actions will most likely be allowed to run their course first.
The danger with the Dems is that they have their eye on the White House for 2008, so that executive compensation may become a high priority so that the "common man" can feel that executives are not being treated better than they are. Oh my!
If only, running a public company were so easy that anyone could do it then, we could pay top executives minimum wage. But that is not the case. So look out the Dems may not be too business friendly. Senators such as Hilary Clinton have proven records, back to Bill Clinton's Arkansas days, of anti business agendas.
Stay tuned for more.
If your company is public in the US or Canada and wants to comply with Sarbanes-Oxley or MI 52-109 cost effectively, see http://www.issuescentral.com/ to learn more about Compliance Playbook®. For companies based in Canada listed on Canadian or US exchanges, see http://www.compliancepartner.ca/ to learn more about Compliance Partner(tm).
