Report: Financial Industry Tried To Convince Regulators To Exempt It From Executive Pay Rules In Dodd-Frank

As part of the Dodd-Frank financial reform law — which President Obama signed one year ago today — regulators were directed to put in place new rules to rein in executive bonuses, as incentives built into the bonus structure at big Wall Street banks drove them to take on severe amounts of risk in the hopes of turning a quick profit. According to a new study by Public Citizen, the financial services industry has not taken kindly to this. “Industry comments on the proposed rule centered on a common theme,” Public Citizen found. “More than 70 percent of commenters asked to be partially or entirely exempted from the rule. Some also asked for whole classes of jobs or for types of pay to be excluded.” House Republicans have proposed repealing some of the executive pay provisions in Dodd-Frank.