ESG and CEO Turnover

Gonul Colak; Timo Korkeamaki; Niclas Meyer

doi:10.2139/ssrn.3710538

ESG and CEO Turnover

Gonul Colak
, Timo Korkeamaki
, Niclas Meyer

Finansiell ekonomi, Helsingfors

Aalto University

Forskningsoutput: Kapitel i bok/rapport/konferenshandling › Konferensbidrag › Vetenskaplig › Peer review

Sammanfattning

We investigate whether CEOs are more likely to be replaced position following incidences related to Environmental, Social, and Governance (ESG) events. Utilizing a sample of large European firms, which allows us to consider covariates at individual-, firm-, industry-, and country-levels, we find that ESG-related news has a statistically and economically significant and robust impact on CEO turnover. The impact is proportional to the severity of an event. Consistent with prior literature, we find some evidence that common-law countries rely more on market-based (ex post) penalties to CEOs to deter stakeholder-related ESG misconduct than civil-law countries.

Originalspråk	Engelska
Titel på värdpublikation	Proceedings of Paris December 2020 Finance Meeting EUROFIDAI - ESSEC
Utgivningsdatum	2020
DOI	https://doi.org/10.2139/ssrn.3710538
Status	Publicerad - 2020
MoE-publikationstyp	A4 Artikel i en konferenspublikation

Publikationsserier

Namn	SSRN Working Paper Series
Förlag	Social Science Research Network

FN:s SDG:er

Detta resultat bidrar till följande hållbara utvecklingsmål:

SDG 7 – Hållbar energi för alla

Nyckelord

512 Företagsekonomi

Åtkomst av dokument

10.2139/ssrn.3710538

OpenUrl-tillgänglighet

Fulltext

Andra filer och länkar

https://www.mendeley.com/catalogue/3078b112-f258-3e2b-8cd3-4f9082cd7271/

Citera det här

@inproceedings{d1ad5e7b3c434d24bdddb9dc92a8b887,

title = "ESG and CEO Turnover",

abstract = "We investigate whether CEOs are more likely to be replaced position following incidences related to Environmental, Social, and Governance (ESG) events. Utilizing a sample of large European firms, which allows us to consider covariates at individual-, firm-, industry-, and country-levels, we find that ESG-related news has a statistically and economically significant and robust impact on CEO turnover. The impact is proportional to the severity of an event. Consistent with prior literature, we find some evidence that common-law countries rely more on market-based (ex post) penalties to CEOs to deter stakeholder-related ESG misconduct than civil-law countries.",

keywords = "512 Business and Management, CEO Turnover, Environmental, Social and Governance (ESG), Firm Misbehavior, Legal Origin, Shareholder, Shareholder Value Maximization, Stakeholder Society Approach",

author = "Gonul Colak and Timo Korkeamaki and Niclas Meyer",

year = "2020",

doi = "10.2139/ssrn.3710538",

language = "English",

series = "SSRN Working Paper Series",

publisher = "Social Science Research Network ",

booktitle = "Proceedings of Paris December 2020 Finance Meeting EUROFIDAI - ESSEC",

}

TY - GEN

T1 - ESG and CEO Turnover

AU - Colak, Gonul

AU - Korkeamaki, Timo

AU - Meyer, Niclas

PY - 2020

Y1 - 2020

N2 - We investigate whether CEOs are more likely to be replaced position following incidences related to Environmental, Social, and Governance (ESG) events. Utilizing a sample of large European firms, which allows us to consider covariates at individual-, firm-, industry-, and country-levels, we find that ESG-related news has a statistically and economically significant and robust impact on CEO turnover. The impact is proportional to the severity of an event. Consistent with prior literature, we find some evidence that common-law countries rely more on market-based (ex post) penalties to CEOs to deter stakeholder-related ESG misconduct than civil-law countries.

AB - We investigate whether CEOs are more likely to be replaced position following incidences related to Environmental, Social, and Governance (ESG) events. Utilizing a sample of large European firms, which allows us to consider covariates at individual-, firm-, industry-, and country-levels, we find that ESG-related news has a statistically and economically significant and robust impact on CEO turnover. The impact is proportional to the severity of an event. Consistent with prior literature, we find some evidence that common-law countries rely more on market-based (ex post) penalties to CEOs to deter stakeholder-related ESG misconduct than civil-law countries.

KW - 512 Business and Management

KW - CEO Turnover

KW - Environmental

KW - Social and Governance (ESG)

KW - Firm Misbehavior

KW - Legal Origin

KW - Shareholder

KW - Shareholder Value Maximization

KW - Stakeholder Society Approach

UR - https://www.mendeley.com/catalogue/3078b112-f258-3e2b-8cd3-4f9082cd7271/

U2 - 10.2139/ssrn.3710538

DO - 10.2139/ssrn.3710538

M3 - Conference contribution

T3 - SSRN Working Paper Series

BT - Proceedings of Paris December 2020 Finance Meeting EUROFIDAI - ESSEC

ER -

ESG and CEO Turnover

Sammanfattning

Publikationsserier

FN:s SDG:er

Nyckelord

Åtkomst av dokument

OpenUrl-tillgänglighet

Andra filer och länkar

Fingeravtryck

Citera det här