SEC fails to reach agreement with House chair on pay raises

Aides to House Government Reform Chairman Dan Burton, R-Ind., and SEC staffers met behind closed doors for two hours Monday without reaching agreement on Burton's objections to a portion of a pending securities bill that falls within his committee's jurisdiction.

At issue is a proposal that would raise salaries for SEC employees, bringing them in line with the pay of other financial regulatory agencies. That provision is included in a larger bill, designed to reduce fees paid by investors to the SEC and slated for consideration on the House floor Thursday. Burton, who oversees civil service pay, has asserted the SEC has not made a compelling case as to why it needs the salary increase.

Discussions were expected to continue throughout Monday evening and into today. A Government Reform Committee spokesman said staff members remain "confident" that an agreement can be reached by Thursday. However, if no agreement is reached by then, "the bill will not come to the floor," the spokesman asserted.