Sen. Sherrod Brown's bill would force companies to pay workers $1 for every $1 million in buybacks

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Brown's new bill would prohibit 'excessive' buybacks and require companies to offer employees $1 for every $1 million of stock repurchases.

Ohio Senator Sherrod Brown joins a growing list of prominent Democrats calling for legislative action to reform Wall Street's practice of share buybacks.

"Wall Street's obsession with accumulating wealth for the people who already have it is by their explicit design," he said from Washington.on Tuesday introduced legislation to curb Wall Street's longtime and controversial practice of stock buybacks. "Wall Street's obsession with accumulating wealth for the people who already have it is by their explicit design – and it comes at the direct expense of American workers," the Ohio lawmaker said from the National Press Club in Washington, according to prepared remarks.

Brown joins a growing list of prominent Democrats railing against corporations' use of what critics call financial engineering, enriching shareholders at the expense of the average worker. But many investors and corporate executives believe buybacks are just another way of returning cash to shareholders, akin to dividends but often more flexible.

 

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Why? So returning value to shareholders is bad?

To my knowledge, he’s never worked full-time in any business, yet believes he is fit to micromanage US public companies. law

rtyson82 can’t wait to see what loophole they’ll use to get around this one

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