The Securities and Exchange Commission is expected Wednesday morning to approve a new rule requiring publicly traded companies to disclose the pay gap between chief executives and their workers.
Chief executives' pay is already disclosed in company proxy statements, so what's new is that firms will now have to publish their median worker pay, or the number at which half of employee pay is above and half is below.
That figure will then be compared to the chief executive's compensation.
A study by the Economic Policy Institute earlier this year found that in 2014, chief executive pay was 303 times higher than the average workers' pay.