WASHINGTON, Dec. 15 (UPI) -- New rules went into effect Friday that should help shareholders and others to tell just how much top executives are paid.
Companies are now required to clearly explain their compensation practices and justify them, The Washington Post reported.
The method of determining compensation for the chief executive and other top officials and a pay table must be detailed and items not listed under the current year's compensation, such as stock option awards, now must be included.
Some perks, like use of the corporate jet, have to be itemized.
The U.S. Securities and Exchange Commission ordered the changes this year, responding to rising clamor against annual double-digit percentage executive pay increases.
Executive compensation practices have played a key role in several recent high-profile corporate accounting scandals.
