Early next spring, publicly traded U.S. corporations have to start reporting the ratio of their chief executive officer's compensation to the median pay received by their employees. Companies worry that the disclosure, mandated by the Securities and Exchange Commission, could elicit negative reactions from employees or investors.
A recent survey suggests many are lagging in their preparations to begin disclosing the CEO pay ratio. Just 56% of companies have even calculated their CEO pay ratio, according to a survey of 276 executives conducted by Pearl Meyer, an executive compensation consulting company.
"People are still in the weeds on the data," said Sharon Podstupka, a principal at Pearl Meyer.
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Susan Kelly
Susan Kelly is a business journalist who has written for Treasury & Risk, FierceCFO, Global Finance, Financial Week, Bridge News and The Bond Buyer.
