Baker McKenzie Partners Jennifer Broder (Transactional) and Peter Chan (Financial Regulation and Enforcement) joined a growing number of voices urging the SEC to modernize its approach to executive compensation disclosures. In both a written submission to the SEC and an article for the Financial Times’ Agenda, they advocate for changes to the rules on perquisites, emphasizing that current requirements to disclose personal security and corporate aircraft use as “perks” are increasingly out of step with today’s heightened threat environment and evolving executive responsibilities.
Jennifer emphasized that boards should not be discouraged from approving necessary security measures or requiring secure travel for CEOs, noting that such protections are business necessities, not personal benefits. Peter added that reclassifying these expenses as business costs would improve the accuracy and comparability of executive compensation disclosures, helping investors make more informed decisions.
Read the full article in Agenda.
Read more in Jennifer and Peter’s comment letter to the SEC:
The Real Life of a CEO: Modern Day Issues Regarding Security, Accessibility and Travel Expectations
