CEO career concerns in early tenure and corporate social responsibility reporting

• 成果类型: Article
• 署名作者: Chen, Long; Liao, Chih-Hsien; Tsang, Albert; Yu, Li
• 署名单位: George Mason University; National Taiwan University; Southern University of Science & Technology; Nankai University
• 刊物名称: CONTEMPORARY ACCOUNTING RESEARCH
• ISSN/ISSBN: 0823-9150
• DOI: 10.1111/1911-3846.12874
• 发表日期: 2023
• 页码: 1545-1575
• 关键词: institutional investors; nonfinancial disclosure; INFORMATION; performance; assurance; IMPACT; CSR; determinants; Managers; analysts

摘要

The literature on corporate social responsibility (CSR) disclosure focuses on its economic consequences, but little is known about motivations-especially CEO personal incentives-behind such disclosure. Using an array of CSR reporting measures, we find that career concerns of CEOs early in their tenure motivate them to use voluntary CSR reporting as a signaling mechanism. The negative association between CEO tenure and CSR reporting is more pronounced in firms with stronger information intermediaries-that is, a higher level of socially responsible investors, a higher number of analysts following, and a higher level of media coverage. We also find that CEOs early in their tenure receive more personal benefits after voluntary CSR reporting, in terms of higher total compensation, better reputation, and less turnover, than CEOs later in their tenure. Taken together, the findings of our study lend support to the conjecture that CEO career concerns early in their tenure can be an important determinant of firms' voluntary CSR reporting.