Rep. Keith Ellison: It's a "Great Idea" For Government to Regulate CEO Pay

Though Ellison claims he is not a Socialist, you'd never guess that from ideas like this one.

Rep. Keith Ellison (D., Minn.) believes that the government needs to do something about the pay gap between CEOs and…

This report uses information put out by companies as required by the SEC under the Dodd-Frank law, called the Pay Ratio Rule. For reasons that only Progressives can appreciate, this rule requires companies to disclose the ratio of pay between their CEO and their median worker. Worse, Obama’s SEC decided that companies must include all part-time, seasonal, and temporary workers in the pool of employees used to determine the median wage, without annualizing their salaries or including any benefits for any of the employees. This creates serious methodological flaws off the top of the analysis, as this article explains much better than I can. Of course, Ellison’s staffers find ways to applaud the SEC for standing firm in its faulty methods in the face of rational opposition. So, let’s just move on from there, since the SEC rule isn’t going away anytime soon.