H.R. 3624 — what changed

Section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) is amended by adding at the end the following:

“(s) Disclosure of number of domestic and foreign employees

changed “(1) Definition—In this subsection, the term “covered subsidiary” means, with respect to an issuer, any subsidiary of the such issuer that is—

“(A) a consolidated subsidiary; or

changed “(B) a subsidiary with respect to which the issuer accounts for the investment of the issuer by in the subsidiary using the equity method of accounting.

changed “(2) Disclosure Requirement—Except as provided in paragraph (3), with respect to an emerging growth company, beginning in the first full fiscal year that begins after the date of the enactment of this subsection, each issuer that is required to file a report with the Commission under pursuant to subsection (a) shall disclose annually to the Commission and to shareholders of the issuer—in such report—

changed “(A) the total number of employees of the issuer and any covered subsidiaries with respect to subsidiary of the issuer who are domiciled in the United States, listed by number in each State;States—

changed “(B) the total number “(i) disaggregated by State, District of employees Columbia, commonwealth, territory, or possession of the issuer who physically work in and are domiciled in any country other than the United States, listed by number in each country;States; and

changed “(C) the total number of employees of covered subsidiaries with respect “(ii) compared using a percentage change calculation to any such total reported by the issuer who physically work in and are domiciled in any country other than the United States, listed by the number most recent annual report of employees at each such covered subsidiary in each such country; andthe issuer;

changed “(D) as compared with the previous reporting year, “(B) the percentage amount by which total number of employees of the numbers described issuer who physically work in subparagraphs (A), (B), and (C) increased or decreased with respect to are domiciled in any country other than the applicable number.United States—

changed “(3) Exemption for emerging growth companies—An emerging growth company shall not be subject to paragraph (2).“(i) disaggregated by country; and

changed “(4) Rules—The Commission may promulgate “(ii) compared using a percentage change calculation to any such rules as total reported by the Commission considers necessary to implement issuer in the requirement under paragraph (2).”most recent annual report of the issuer; and

added “(C) the total number of employees of any covered subsidiary of the issuer who physically work in and are domiciled in any country other than the United States—

added “(i) disaggregated by country; and

added “(ii) compared using a percentage change calculation to any such total reported by the issuer in the most recent annual report of the issuer.

added “(3) Rulemaking—The Commission may issue such rules as the Commission considers necessary to implement this subsection.”