U.S. securities regulators proposed rules Wednesday that would require publicly listed companies to have independent compensation committees and make key disclosures about their use of compensation consultants.

The proposal, approved by the Securities and Exchange Commission in a 5-0 vote, is the latest effort by the agency to implement provisions in the Dodd-Frank Wall Street reform law designed to improve transparency surrounding compensation practices.

The rule would require stock exchanges to enact listing requirements that require compensation committees of public companies to be independent. The proposed rule also lays out factors to help boards evaluate the independence of a compensation consultant before hiring one, and requires companies to disclose any conflicts of interest that may arise with consultants.