I 
116TH CONGRESS 
2D SESSION 
H. R. 5930 
To amend the Securities Exchange Act of 1934 to require issuers to disclose 
information about human capital management in annual reports, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 21, 2020 
Mrs. AXNE introduced the following bill; which was referred to the Committee 
on Financial Services 
A BILL 
To amend the Securities Exchange Act of 1934 to require 
issuers to disclose information about human capital man-
agement in annual reports, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Workforce Investment 
Disclosure Act of 2020’’. 
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SEC. 2. DISCLOSURES RELATED TO HUMAN CAPITAL MAN-
AGEMENT. 
Section 13 of the Securities Exchange Act of 1934 
(15 U.S.C. 78m) is amended by adding at the end the 
following: 
‘‘(s) DISCLOSURES RELATED TO HUMAN CAPITAL 
MANAGEMENT.— 
‘‘(1) IN GENERAL.—Each issuer required to file 
an annual report under subsection (a) shall disclose 
in that report information about human capital 
management policies, practices, and performance. 
‘‘(2) RULES.—Not later than 270 days after 
the date of the enactment of this subsection, the 
Commission shall issue final rules to carry out para-
graph (1) and such rules shall require disclosure of 
the following with respect to the issuer: 
‘‘(A) Workforce demographic information, 
including the number of full-time employees, 
the number of part-time employees, the number 
of contingent workers (including temporary and 
contract workers), and any policies or practices 
relating to subcontracting, outsourcing, and 
insourcing. 
‘‘(B) Workforce stability information, in-
cluding information about the voluntary turn-
over or retention rate, the involuntary turnover 
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or retention rate, the internal hiring rate, and 
the internal promotion rate. 
‘‘(C) Workforce composition, including 
data on diversity (including racial and gender 
composition) and any policies and audits related 
to diversity. 
‘‘(D) Workforce skills and capabilities, in-
cluding information about training of employees 
(including the average number of hours of 
training per employee per year), skills gaps, and 
alignment of skills and capabilities with busi-
ness strategy. 
‘‘(E) Workforce culture and empowerment, 
including information about— 
‘‘(i) policies and practices of the 
issuer relating to freedom of association 
and work-life balance initiatives; 
‘‘(ii) any incidents of verified work-
place harassment in the previous 5 fiscal 
years of the issuer; and 
‘‘(iii) policies and practices of the 
issuer relating to employee engagement 
and 
psychological 
wellbeing, 
including 
management discussion regarding— 
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‘‘(I) the creation of an autono-
mous work environment; 
‘‘(II) fostering a sense of purpose 
in the workforce; 
‘‘(III) trust in management; and 
‘‘(IV) a supportive, fair, and con-
structive workplace. 
‘‘(F) Workforce health and safety, includ-
ing information about— 
‘‘(i) the frequency, severity, and lost 
time due to injuries, illness, and fatalities; 
‘‘(ii) the total dollar value of assessed 
fines under the Occupational Safety and 
Health Act of 1970; 
‘‘(iii) the total number of actions 
brought under section 13 of the Occupa-
tional Safety and Health Act of 1970 to 
prevent imminent dangers; and 
‘‘(iv) the total number of actions 
brought against the issuer under section 
11(c) of the Occupational Safety and 
Health Act of 1970. 
‘‘(G) Workforce compensation and incen-
tives, including information about— 
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‘‘(i) total workforce compensation, in-
cluding disaggregated information about 
compensation for full-time, part-time, and 
contingent workers; 
‘‘(ii) policies and practices about how 
performance, productivity, and sustain-
ability are considered when setting pay and 
making promotion decisions; and 
‘‘(iii) policies and practices relating to 
any incentives and bonuses provided to em-
ployees below the named executive level 
and any policies or practices designed to 
counter any risks create by such incentives 
and bonuses. 
‘‘(H) Workforce recruiting, including infor-
mation about the quality of hire, new hire en-
gagement rate, and new hire retention rate.’’. 
SEC. 3. BACKSTOP. 
If, 2 years after the date of the enactment of this 
Act, the Securities and Exchange Commission has not 
issued rules required under section 13(s)(2) of the Securi-
ties Exchange Act of 1934, as added by section 2, and 
until such rules are issued, an issuer shall be deemed in 
compliance with section 13(s) of the Securities Exchange 
Act of 1934 if disclosures set forth in the annual report 
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of such issuer satisfy the public disclosure standards of 
the International Organization for Standardization’s ISO 
30414, or any successor standards for external human 
capital reporting, and as supplemented or adjusted by 
such rules, guidance, or other comments from the Com-
mission. 
SEC. 4. SEC STUDY. 
(a) STUDY.—The Securities and Exchange Commis-
sion shall conduct a study about the value to investors 
of— 
(1) information about the human rights com-
mitments of issuers of securities required to file an-
nual reports under section 13(a) of the Securities 
Exchange Act of 1934, including information about 
any principles used to evaluate risk, constituency 
consultation processes, and supplier due diligence; 
(2) information about violations, by issuers of 
securities required to file annual reports under sec-
tion 13(a) of the Securities Exchange Act of 1934, 
of the Fair Labor Standards Act of 1938; 
(3) disaggregating the information requested in 
section 13(s) of the Securities Exchange Act of 1934 
based on relevant workforce subgroups, including— 
(A) full-time employees; 
(B) part-time employees; 
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(C) contingent workers; and 
(D) company management; and 
(4) surveys regarding employee satisfaction and 
engagement. 
(b) REPORT.—Not later than 1 year after the date 
of the enactment of this Act, the Securities and Exchange 
Commission shall submit to Congress a report about the 
study conducted pursuant to subsection (a). 
Æ 
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