April 6, 2006
Please act on this proposed rule (S7-03-06) making executive compensation disclosure. Too often executives are rewarded richly for doing a below par job. Even if they lose money for the company. Without better and complete disclosure, investors, employees, shareholdeers and the public are unable to evaluate the justification of this large pay.
The new proposed rules will go a long way to make this information available to all. Total compensation must be disclosed, including pensions and detailed compensation breakdowns will make it clear just how much top executives are getting.
The pay of CEO and CFOs should be set by independent directors who are accountable to the shareholders. In this way these executives will be prevented from stealing the SHOP.
Further this compensation should not be a tax deduction to the corporation. It should be fully taxed. This is not the cost of business, it is a gift to the CEO and CFO from the corporation and takes money from the shareholders and employees of the corporation.
Anything less than full disclosure proves that the SEC and the Corporations are in collusion to steal the profits and cash out the workers pensions.