Board of Directors’ Remuneration, Employee Costs, and Layoffs: Evidence from Spain
| Autor: | Mariano González-Sánchez, Ana I. Segovia San Juan, Eva M. Ibáñez Jiménez |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2021 |
| Předmět: |
Geography
Planning and Development TJ807-830 Accounting layoffs Management Monitoring Policy and Law TD194-195 Renewable energy sources Shareholder Return on equity 0502 economics and business Remuneration Revenue GE1-350 board remuneration 050208 finance Environmental effects of industries and plants Renewable Energy Sustainability and the Environment Earnings per share business.industry Corporate governance 05 social sciences personnel management firm performance Environmental sciences Human resource management Cash flow business 050203 business & management |
| Zdroj: | Sustainability Volume 13 Issue 14 Sustainability, Vol 13, Iss 7518, p 7518 (2021) |
| ISSN: | 2071-1050 |
| DOI: | 10.3390/su13147518 |
| Popis: | Most of the empirical studies on board remuneration have focused on finding explanatory performance measures. There are studies that analyze if the compensation contracts of directors reward managers in such a way that they strive to maximize firm performance and shareholders’ wealth however, there are few studies on the social aspect of corporate governance, or agent–employee and principal–employee relationships. Thus, in this study, our aim is to test whether there is a causal relationship between the remuneration of the board of directors of listed companies and the personnel policies of the companies, expressed through the cost of personnel and layoffs. For that, we used a sample of Spanish listed companies, and we found that two performance measures (return on equity and earnings per share on market price) have a greater effect on the growth rate of board remuneration when layoffs occur. Additionally, we found that the sales revenue and cash flow on total assets subsequently influenced personnel management. |
| Databáze: | OpenAIRE |
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