H.R. 3791 (112th): To amend the Securities Exchange Act of 1934 to require annual disclosures relating to the compensation brackets ...

...in which an issuer’s minority and women employees reside.

112th Congress, 2011–2013. Text as of Jan 18, 2012 (Introduced).

Status & Summary | PDF | Source: GPO

I

112th CONGRESS

2d Session

H. R. 3791

IN THE HOUSE OF REPRESENTATIVES

January 18, 2012

introduced the following bill; which was referred to the Committee on Financial Services

A BILL

To amend the Securities Exchange Act of 1934 to require annual disclosures relating to the compensation brackets in which an issuer’s minority and women employees reside.

1.

Findings

Congress finds the following:

(1)

Breaking through the glass ceiling by minorities and women is a bipartisan issue.

(2)

Former Massachusetts Governor Mitt Romney advocated an idea for imposing pressure on public companies to benefit minorities and women during a debate with then-Senator Edward M. Kennedy in 1994, stating: I believe that public companies and Federal agencies should be required to report in their annual 10K the number of minorities and women by income group across the company, so we can identify where the glass ceiling is and break through it. And I think that the market of America will say that company has not promoted women, has not promoted minorities and will put pressure on American corporations and agencies to respond..

2.

Disclosures relating to compensation of minorities and women

Section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) is amended by adding at the end the following:

(r)

Disclosures relating to compensation of minorities and women

(1)

In general

Not later than 270 days after the date of the enactment of this subsection, the Commission shall issue final rules that require each issuer required to file an annual report under this section to—

(A)

using compensation information for all employees, determine the 5 compensation brackets in which the issuer’s employees reside (where such brackets contain an equal number of employees and range from the 20 percent of employees with the lowest compensation to the 20 percent of employees with the highest compensation); and

(B)

include in the issuer’s annual report the number of minorities and women employed by the issuer that fall into each of the compensation brackets.

(2)

Self-reporting

For purposes of identifying an employee as a minority or woman for purposes of paragraph (1)(B), an issuer shall rely on self-reporting by such employee.

.