New SEC Chief Backs 'Say-on-Pay'
By Ian Katz
Saturday, January 24, 2009; Page D02
Schapiro expressed support for
"say-on-pay" provisions in written responses to questions from Sen.
Carl M. Levin (D-Mich.) released yesterday by the lawmaker's office.
Schapiro, approved by unanimous consent, outlined her views on issues
including hedge-fund registration and accounting standards.
"Executive compensation has been a
concern of mine for some time now," Schapiro wrote. "I believe that
it's an appropriate measure to give shareholders an advisory vote on
Obama, as a member of the Senate,
introduced legislation in 2007 that would have required companies to
give investors a non-binding advisory vote on executive pay after the
House passed a similar measure. Obama's bill stalled.
Schapiro signaled a
break with SEC policy under Christopher Cox, who stepped down as
chairman Tuesday, expressing skepticism about moving U.S. accounting
rules toward convergence with those set by the International
Accounting Standards Board.
"It's critical that
these standards are converged in a way that does not kick off a race
to the bottom," Schapiro wrote. "It is not apparent that the IASB
meets those criteria, and I'm not prepared to delegate
standard-setting or oversight."