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Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
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TY - JOUR
T1 - CEO risk taking equity incentives and workplace misconduct
AU - Chircop, Justin
AU - Tarsalewska, Monika
AU - Trzeciakiewicz, Agnieszka
PY - 2025/1/1
Y1 - 2025/1/1
N2 - We examine the relation between CEO risk taking equity incentives, as captured by CEO vega, and workplace misconduct. Workplace misconduct includes health and safety violations, non-compliance with labor laws, and other violations broadly related to labor exploitation, and it results in significant economic costs. Using regression analysis, matched sample tests, and a quasi-natural experiment, we find a positive relation between CEO vega and workplace misconduct. We identify a reduction in discretionary expenses and increased employee workload as channels through which CEO vega affects workplace misconduct.
AB - We examine the relation between CEO risk taking equity incentives, as captured by CEO vega, and workplace misconduct. Workplace misconduct includes health and safety violations, non-compliance with labor laws, and other violations broadly related to labor exploitation, and it results in significant economic costs. Using regression analysis, matched sample tests, and a quasi-natural experiment, we find a positive relation between CEO vega and workplace misconduct. We identify a reduction in discretionary expenses and increased employee workload as channels through which CEO vega affects workplace misconduct.
U2 - 10.2308/TAR-2020-0648
DO - 10.2308/TAR-2020-0648
M3 - Journal article
VL - 100
SP - 139
EP - 167
JO - The Accounting Review
JF - The Accounting Review
SN - 0001-4826
IS - 1
ER -