Obama Calls For Accountability On Executive Pay

April 13, 2008 8:46 a.m. EST

Indianapolis, IN (AHN) - Presidential candidate Sen. Barack Obama (D-IL) is proposing legislation that would set transparency measures on executive compensation packages.

He wants shareholders to have a nonbinding vote on executive pay, which doesn't mean that a cap will be placed on CEO income, just that stakeholders would be allowed to express their position publicly on what used to be classified matters.

Earlier, USA Today reported that the average income of the top brass at the 50 largest companies in the U.S. was $15.7 million last year, regardless of the company's actual financial situation. Meaning executives at failing companies are paid about the same amount that successful executives receive.

The House of Representatives passed a bill last year that is similar to the bill Obama is championing this year.

"This isn't just about expressing outrage," Obama said at a news conference, according to the AP and Bloomberg news reports. "It's about changing a system where bad behavior is rewarded so that we can hold CEOs accountable, and make sure they're acting in a way that's good for their company, good for our economy, and good for America, not just good for themselves."

Obama was campaigning in Indiana - which holds its primary on May 6 .Obama and Sen. Hillary Rodham Clinton (D-NY) are said to be running neck-and-neck there.