A bill that would suspend the $3 million pay raises recently awarded to the CEOs of Fannie Mae and Freddie Mac is one step closer to becoming law.
The Equity in Government Compensation Act of 2015, which would eliminate the proposed compensation packages for the CEOs of Fannie Mae and Freddie Mac, is now scheduled for a markup by the House Financial Services Committee on Tuesday, July 28.
The Equity in Government Compensation Act was introduced by Rep. Ed Royce, R-CA, on May 8, and would limit the salaries of Fannie Mae CEO Timothy Mayopoulos and Freddie Mac CEO Donald Layton to a level equal with the “highest level paid” at the Federal Housing Finance Agency, the conservator of Fannie and Freddie.
According to a release from Royce’s office, the highest pay level at the FHFA is $255,000.
According to a report from the Wall St. Journal earlier this month, Mayopoulos and Layton’s pay is currently capped at $600,000.
So instead of seeing their salaries increase to an annual target compensation of $4 million each, Mayopoulos and Layton would actually see their salaries decrease if Royce’s bill becomes law.