Pay me Right: Reference Values and Executive Compensation

Arbeitspapier

This paper studies the impact of external reference values on managerial compensation contracts. We consider the effect of adoption of non-binding pay nfirms on actal remuneration behavior using a unique country example. We find that introduction of pay nfirms changed the reference values for CEOs and led to adjustment of executive compensation towards new equilibrium. These pay nfirms affected pay in firms with actual compensation below and above reference values. Further we find that reference values changed compensation in all types of firms, although executive compensation increased more in firms with more dispersed ownership and control. These results confirm the importance of reference values in bargaining process between owners and managers.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: LICOS Discussion Paper ; No. 220

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Corporate Finance and Governance: General ; Mergers; Acquisitions; Restructuring; Voting; Proxy Contests; Corporate Governance
• Thema: executive compensation ; bargaining ; reference values ; ownership structure ; Managervergütung ; Verhandlungsmacht ; Corporate Governance ; Slowenien

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Gregorič, Aleksandra ; Polanec, Sašo ; Slapničar, Sergeja
• Ereignis: Veröffentlichung
• (wer): Katholieke Universiteit Leuven, LICOS Centre for Institutions and Economic Performance
• (wo): Leuven
• (wann): 2008

Weitere Informationen

• Handle: http://hdl.handle.net/10419/74908
• Letzte Aktualisierung: 10.03.2025, 11:41 MEZ