The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations
Abstract This study examines the governing role of gender diversity on the board of directors on conditional accounting conservatism and executive remuneration. Using proprietary data about women representation on the board of directors to investigate the impact on the choice between accounting meth...
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| Format: | Article |
| Language: | English |
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SpringerOpen
2024-07-01
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| Series: | Future Business Journal |
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| Online Access: | https://doi.org/10.1186/s43093-024-00377-7 |
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| author | Reem Essam Bedeir |
| author_facet | Reem Essam Bedeir |
| author_sort | Reem Essam Bedeir |
| collection | DOAJ |
| description | Abstract This study examines the governing role of gender diversity on the board of directors on conditional accounting conservatism and executive remuneration. Using proprietary data about women representation on the board of directors to investigate the impact on the choice between accounting methods and the structure of executives remuneration. A sample of listed firms on the London Stock Exchange from 2019 to 2022 is used. The results first document that firms exhibit a higher level of conditional accounting conservatism when women represent a larger fraction of the board. The analyses further establish different relationships between performance-based versus equity-based remunerations and conditional accounting conservatism. Last, the results show that women representation is related to pay out policy and its impact on conditional accounting conservatism. The findings also offer novel insights on the governing role and consequences of gender diversity of woman chairperson and/or woman CEO. Overall, contrary to notions of opportunistic behavior of executives, the results find that boards achieve more level of governance with more women representation. |
| format | Article |
| id | doaj-art-5b6a144df6934e3f992445e032de5c45 |
| institution | OA Journals |
| issn | 2314-7202 2314-7210 |
| language | English |
| publishDate | 2024-07-01 |
| publisher | SpringerOpen |
| record_format | Article |
| series | Future Business Journal |
| spelling | doaj-art-5b6a144df6934e3f992445e032de5c452025-08-20T01:51:28ZengSpringerOpenFuture Business Journal2314-72022314-72102024-07-0110111710.1186/s43093-024-00377-7The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerationsReem Essam Bedeir0Accounting Department, Faculty of Commerce, Cairo UniversityAbstract This study examines the governing role of gender diversity on the board of directors on conditional accounting conservatism and executive remuneration. Using proprietary data about women representation on the board of directors to investigate the impact on the choice between accounting methods and the structure of executives remuneration. A sample of listed firms on the London Stock Exchange from 2019 to 2022 is used. The results first document that firms exhibit a higher level of conditional accounting conservatism when women represent a larger fraction of the board. The analyses further establish different relationships between performance-based versus equity-based remunerations and conditional accounting conservatism. Last, the results show that women representation is related to pay out policy and its impact on conditional accounting conservatism. The findings also offer novel insights on the governing role and consequences of gender diversity of woman chairperson and/or woman CEO. Overall, contrary to notions of opportunistic behavior of executives, the results find that boards achieve more level of governance with more women representation.https://doi.org/10.1186/s43093-024-00377-7Corporate governanceGender diversityBoards structureWomen directorsAccounting conservatismExecutives remuneration |
| spellingShingle | Reem Essam Bedeir The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations Future Business Journal Corporate governance Gender diversity Boards structure Women directors Accounting conservatism Executives remuneration |
| title | The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations |
| title_full | The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations |
| title_fullStr | The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations |
| title_full_unstemmed | The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations |
| title_short | The governing role of board gender diversity on conditional accounting conservatism and executive remuneration: performance-based versus equity-based remunerations |
| title_sort | governing role of board gender diversity on conditional accounting conservatism and executive remuneration performance based versus equity based remunerations |
| topic | Corporate governance Gender diversity Boards structure Women directors Accounting conservatism Executives remuneration |
| url | https://doi.org/10.1186/s43093-024-00377-7 |
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