Crowdsourced employer reviews and stock returns

• 成果类型: Review
• 署名作者: Green, T. Clifton; Huang, Ruoyan; Wen, Quan; Zhou, Dexin
• 署名单位: Emory University; Georgetown University; City University of New York (CUNY) System; Baruch College (CUNY)
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2019.03.012
• 发表日期: 2019
• 页码: 236-251
• 关键词: Glassdoor; Employee satisfaction; market efficiency

摘要

We find that firms experiencing improvements in crowdsourced employer ratings significantly outperform firms with declines. The return effect is concentrated among reviews from current employees, stronger among early firm reviews, and also stronger when the employee works in the headquarters state. Decomposing employer ratings, we find the return effect is related to changing employee assessments of Career Opportunities and views of senior management. It is unrelated to work-life balance. Employer rating changes are associated with growth in sales and profitability and help forecast one-quarter-ahead earnings announcement surprises. The evidence is consistent with employee reviews revealing fundamental information about the firm. (C) 2019 Elsevier B.V. All rights reserved.