Buffett Criticizes CEO Pay Ratio Disclosure Rules
Update: 2025-11-11
Description
Warren Buffett criticizes executive compensation disclosure rules in his annual letter to Berkshire Hathaway shareholders. He argues that these rules, intended to curb excessive pay, have actually fueled competition and envy among executives, leading to increased compensation. Buffett also points out that these disclosure rules have significantly lengthened corporate filings and that the pay ratio metric is not a fair basis for comparison. Berkshire Hathaways own proxy statement shows Buffetts pay ratio to the median employee at nearly five to one.
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