CEO Locality and Employment Stickiness

IF 3.1 3区 管理学 Q2 BUSINESS, FINANCE
Sohee Park, Batjargal Bolor-Erdene, Keumah Jung, Hee-Yeon Sunwoo
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引用次数: 0

Abstract

We explore whether CEOs’ hometown identity involves labour adjustment decisions. We document that local CEOs, with their hometown ties, reduce employment to a lesser degree following sales downturns than nonlocal CEOs. This finding suggests that local CEOs’ strong local attachments motivate them to prioritise employee interests and build good reputations, which create private benefits or reserve future career paths in their hometowns. Our findings are more pronounced in areas where local connections are highly valued, thus supporting our argument. We further find that the retention efforts of local CEOs are related to low future performance. We extend the cost stickiness literature by documenting that CEOs’ place attachment influences resource adjustment decisions, particularly regarding labour, which eventually influences subsequent performance.

CEO地域性与就业粘性
我们探讨ceo的家乡认同是否与劳动力调整决策有关。我们的研究表明,与非本地首席执行官相比,与家乡有联系的本地首席执行官在销售下滑后减少就业的程度较小。这一发现表明,本土ceo强烈的本土依恋促使他们优先考虑员工利益并建立良好声誉,从而创造个人利益或保留未来在家乡的职业道路。我们的发现在高度重视本地联系的地区更为明显,从而支持了我们的论点。我们进一步发现,本地ceo的留任努力与未来低绩效相关。我们通过证明ceo的位置依恋影响资源调整决策,特别是劳动力调整决策,最终影响后续绩效,扩展了成本粘性文献。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
Australian Accounting Review
Australian Accounting Review BUSINESS, FINANCE-
CiteScore
6.30
自引率
17.60%
发文量
31
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