Edwards Gets Tough on Business
Susan Davis reports on the presidential race.

John Edwards is targeting Corporate America and what he argues are its corrupt and greedy practices. In a speech today in Des Moines, Iowa, he is outlining his plan to renew the “social contract” between business and government if elected president. “In corporate America, where a broader sense of social responsibility once held sway, a culture of greed has taken over.

Instead of treating their employees fairly, being accountable to their shareholders and contributing to America’s prosperity, CEOs act like their corporations exist just to build their own massive fortunes,” says Edwards, according to speech excerpts provided to Washington Wire by his campaign.

Edwards is proposing, among other things, universal retirement accounts that employers would be required to provide if they don’t offer pension programs. Workers’ contributions would be matched dollar-for-dollar on the first $500 through a proposed “Get Ahead” tax credit. The plan would also allow workers to put their savings into government-sponsored annuities that would be run through the existing federal retirement savings plan or the Social Security Administration.

Edwards is also proposing stronger protections for workers seeking to unionize and increased shareholder rights. And he’s proposing to cap tax-deferred compensation funds for top executives at $1 million annually, and pushing for more disclosure of corporate governance structures, the pay and demographics of top corporate officers, as well as political contributions, government contracts, and taxes paid.

To protect consumers, Edwards wants a new regulator, the Family Savings and Credit Commission, which would oversee credit card and financial services plans marketed to the public. He also proposes tougher Food and Drug Administration inspection standards and safety regulations on products, like kids’ toys, made abroad.