Abstract

Using manually collected Taiwanese data from 2018 to 2021, this study examines the relationship between deviations in company-announced salary adjustments and employee productivity—an area previously unaddressed in the literature. Companies that keep their promised salary adjustments to their employees are ideal examples of fulfilling social responsibilities. However, when companies announce actual salary adjustments that are lower than their previously announced and expected salary adjustments,...

Abstract

This study investigates whether independent directors' facial trustworthiness affect financial reporting conservatism. We focus on independent director resignation events, and the empirical results provide supporting evidence that resigned independent directors with higher facial trustworthiness are negatively associated with financial reporting conservatism. However, this negative relation is significantly moderated by resigned independent directors as chairmen of functional committees. Overall...

Abstract

This study explores how the presence and severity of negative corporate social responsibility (i.e., NCSR) events affect CEO turnovers and CEO compensations by collecting data from the Taiwan Economic Journal (TEJ) database from 2005 to 2022. The results show that companies likely terminate senior executives in subsequent years on NCSR events, resulting in CEO turnovers. Moreover, we find that the severity of NCSR is positively related to CEO turnovers. Similarly, the presence and severity of NC...

Abstract

This study pioneers an examination of market responses to China's Zero-COVID policy, particularly its impact on firms with production facilities in lockdown-affected cities during the Great Lockdown. Utilizing an event study methodology, we demonstrate that these firms experienced significant declines in cumulative abnormal returns and revenue growth, coupled with increased investor disagreement. Critically, voluntary disclosures of shutdown-related material information effectively mitigated the...