|8:28 PM EST||
Stephen F. Lynch, D-MA 8th
Mr. LYNCH. I thank the gentlewoman.
This 2-year extension is in addition to the extension we already provided by the regulation last year. That further delay adds unnecessary risk to our financial system. And that is why I sponsored another amendment to remove this additional 2-year delay, so banks will be required to comply with this provision of the Volcker rule no later than July 21, 2017.
Again, title XI of this bill modifies the SEC rule 701 by allowing private companies to compensate their employees up to $10 million in company securities without having to provide those employees with certain basic financial disclosures about the company stock.
I strongly support employees receiving equity benefits from their firms in which they work, but those benefits should be tangible and real. We all remember Enron and WorldCom where employees were pressured to buy stock as part of their compensation, and at the end of the day, that stock was completely worthless.
Why can't we enable employees to receive some equity in the company in which they work and ensure that those workers get accurate financial disclosure as part of that deal? This is why I offered three amendments to reform title XI in order to make certain workers get accurate information about the equities shares that they are receiving from the companies they work for. Unfortunately, the Rules Committee chose to deny all the amendments to this bill.
In closing, this harmful bill uses the veneer of job creation to provide special treatment for well-connected corporations and financial institutions while doing very little for the workers that it professes to help.
Mr. Speaker, I urge my colleagues to vote ``no'' on this bill, and, again, I thank the gentlewoman for yielding.