Pay Cuts for the Boss: Executive Compensation in the 1940s

2012 ◽  
Vol 72 (1) ◽  
pp. 225-251 ◽  
Author(s):  
CAROLA FRYDMAN ◽  
RAVEN MOLLOY
Keyword(s):  
Panel Data ◽  
Executive Compensation ◽  
Labor Unions ◽  
Government Regulation ◽  
Executive Pay ◽  
Data Set ◽  
Top Executives ◽  
The Past ◽  
Pay Cuts ◽  
Modest Effect

Executive pay fell during the 1940s, marking the last notable decrease in the past 70 years. We study this decline using a new panel data set on the remuneration of top executives in 246 firms. Government regulation—including explicit salary restrictions and taxation—had, at best, a modest effect on executive pay. By contrast, a decline in the returns to firm size and an increase in the power of labor unions contributed greatly to the reduction in executive compensation relative to other workers’ earnings from 1940 to 1946. The continued decrease in relative executive pay remains largely unexplained.

The impact of public scrutiny on executive compensation

2019 ◽  
Vol 27 (3) ◽  
pp. 303-323
Author(s):  
Andrew Glen Carrothers
Keyword(s):  
Executive Compensation ◽  
Chief Executive ◽  
Multivariate Regression Analysis ◽  
Government Support ◽  
Executive Pay ◽  
Data Set ◽  
Content Type ◽  
Public Scrutiny ◽  
The 2008 Financial Crisis ◽  
The Impact

Purpose This paper aims to examine the impact of public scrutiny on chief executive officer (CEO) compensation at Standard & Poor’s (S&P) 500 firms. Design/methodology/approach This paper uses the unique opportunity provided by the 2008 financial crisis and, in particular, government support and legislated compensation restrictions in the US Department of the Treasury’s Troubled Asset Relief Program (TARP). It aggregates monetary and non-monetary executive compensation information from 2006 to 2012, with firm- and manager-level data. It presents univariate summary compensation results and uses multivariate regression analysis to isolate the impact of public scrutiny and legislated compensation restrictions on executive pay. Findings Overall, the results are consistent, with increased public scrutiny having a lasting impact on perks and temporary impact on wage and legislated compensation restrictions having a temporary impact on wage. Changes in specific perk items provide evidence on which perks firms perceive as excessive and which provide common value. Originality/value The paper contributes to the discussion of perks as excess by introducing a novel data set of perk compensation at S&P500 firms and by studying how firms choose to alter levels of specific perk items in response to increased public scrutiny and legislated compensation restrictions. The paper contributes to the literature on executive pay as there has been little inquiry into the impact of public scrutiny on compensation. Public scrutiny could be an important source of external governance if firms change behavior in response to explicit and implicit scrutiny costs.

Authoritarian survival strategies and elite churn: The case of North Korea

2020 ◽  
Vol 23 (2) ◽  
pp. 160-176
Author(s):  
John Ishiyama ◽  
Taekbin Kim
Keyword(s):  
Panel Data ◽  
North Korea ◽  
Survival Strategies ◽  
Leadership Characteristics ◽  
Structural Factors ◽  
Data Set ◽  
The Past ◽  
The North ◽  
Authoritarian Survival ◽  
Scholarly Attention

How do autocrats interact with authoritarian elites? This is a question that has gained increasing scholarly attention over the past decade. In this article, using the case of North Korea we develop a set of theoretical expectations for “elite churn” or changes in the composition of the elite (either in terms of promotions, demotions, or new entrants) resulting from moving around elites from office to office (or “elite shuffle”) and bringing in new elites. We test a number of theoretical expectations derived from the existing literature on elite management in autocracies and then examine these expectations using a panel data set of 351 members of the North Korean elite from 1948–2017. Taking into account leadership characteristics, threats to the regime (both internal and external), external opportunities, and structural factors, we find that the explanation for elite churn in North Korea is very leader specific, and is much more pronounced under Kim Jong Un than his predecessors. This suggests that Kim Jong Un’s position was much more tenuous than his father’s and grandfather’s and likely continues to be so.

What Do Unions Do for Mothers? Paid Maternity Leave Use and the Multifaceted Roles of Labor Unions

ILR Review ◽  
2018 ◽  
Vol 72 (3) ◽  
pp. 662-692 ◽  
Author(s):  
Tae-Youn Park ◽  
Eun-Suk Lee ◽  
John W. Budd
Keyword(s):  
Panel Data ◽  
Conceptual Framework ◽  
Labor Unions ◽  
Maternity Leave ◽  
Working Women ◽  
Longitudinal Survey ◽  
Data Set ◽  
Non Union ◽  
Paid Leave ◽  
Leave Taking

The authors present a four-fold conceptual framework of union roles—with a focus on availability, awareness, affordability, and assurance—for enhancing workers’ paid maternity leave use. Using a panel data set of working women up to age 31 constructed from the National Longitudinal Survey of Youth 1997, the authors find union-represented workers to be at least 17% more likely to use paid maternity leave than are comparable non-union workers. Additional results suggest that availability, awareness, and affordability contribute to this differential leave-taking. The authors also document a post-leave wage growth penalty for paid leave-takers, but do not find a significant union–non-union difference.

scholarly journals Effects of deregulation on executive compensation revisited: The evidence from three industries

2007 ◽  
Vol 4 (4) ◽  
pp. 275-284
Author(s):  
Theresa Seung Cho
Keyword(s):  
Environmental Change ◽  
Executive Compensation ◽  
Managerial Discretion ◽  
Incentive System ◽  
Executive Pay ◽  
Top Executives ◽  
Structure Level ◽  
Mixed Support ◽  
The Impact

This study examines the linkage between a heightened managerial discretion due to an environmental change on executive compensation. Specifically, we consider the impact of deregulation on three facets of executive pay: structure, level and the degree of disparity among the top executives. The results indicate mixed support for previous findings on the effects of an environmental shift on executive incentive system

scholarly journals News insights on executive compensation

2010 ◽  
Vol 7 (3) ◽  
pp. 8-24
Author(s):  
João Paulo Vieito
Keyword(s):  
Executive Compensation ◽  
Stock Options ◽  
New Economy ◽  
Compensation Structure ◽  
Top Executives ◽  
The Past ◽  
The Usa ◽  
Old Economy ◽  
Changes Over Time ◽  
Industry Sectors

This paper aims to examine executive compensation structure and determinants on a panel of the socalled “new economy” and “old economy” firms in the USA over the period 1992-2004. The results reveal that executive compensation structure in new versus old economy firms is different and more importantly, it changes over time. Additionally, our results document that the factors explaining executive compensation of new and old economy are different, and also that stock options, despite the problems that have been related with these compensation components in the past, are still the most important ones, both in new and old economy firms. Our results imply that different reward structures exist for different industry sectors at different stages in their development and companies must readjust compensation structures frequently to provide incentive for their top executives.

CEO Compensation and Acquired and Acquiring Companies in Large Corporate Acquisitions

GIS Business ◽  
2016 ◽  
Vol 11 (5) ◽  
pp. 01-13
Author(s):  
Simon Yang
Keyword(s):  
Firm Performance ◽  
Executive Compensation ◽  
Ceo Compensation ◽  
Relative Sensitivity ◽  
Matched Sample ◽  
Executive Pay ◽  
Corporate Acquisitions ◽  
Acquiring Firms ◽  
Managerial Power ◽  
To Receive

This paper examines the relative sensitivity of CEO compensation of both acquiring and acquired firms in the top 30 U.S. largest corporate acquisitions in each year for the period of 2003 to 2012. We find that total compensation and bonus granted to executive compensation for acquired companies, not acquiring companies, are significantly related to the amount of acquisition deal even after the size and firm performance are controlled for. Both acquiring and acquired CEOs are found to make the significantly higher compensation than the matched sample firms in the same industry and calendar year. We also find that executives with higher managerial power, as measured by a lower salary-based compensation mix, prior to a corporate acquisition are more likely to receive a higher executive pay in the year of acquisition. The association between executive compensation and managerial power seems to be stronger for acquired firms than for acquiring firms in corporate acquisition. Overall, our findings suggest that corporate acquisition has higher impacts on executive compensation for acquired firm CEOs than for acquiring firm CEOs.

A General Approach to Panel Data Set-Theoretic Research

2016 ◽  
Vol 1 (1) ◽  
pp. 11-41
Author(s):  
Roberto Garcia-Castro ◽  
◽  
Miguel A. Ariño ◽  
Keyword(s):  
Panel Data ◽  
Data Set

scholarly journals Change in mean and extreme temperature at Yingkou station in Northeast China from 1904 to 2017

2021 ◽  
Vol 164 (3-4) ◽  
Author(s):  
Xiaoying Xue ◽  
Guoyu Ren ◽  
Xiubao Sun ◽  
Panfeng Zhang ◽  
Yuyu Ren ◽  
...  
Keyword(s):  
Northeast China ◽  
Extreme Temperature ◽  
Maximum Temperature ◽  
Data Set ◽  
The Past ◽  
Significant Downward Trend ◽  
Cold Events ◽  
Temperature Indices ◽  
Increasing Trends ◽  
Change In Mean

AbstractThe understanding of centennial trends of extreme temperature has been impeded due to the lack of early-year observations. In this paper, we collect and digitize the daily temperature data set of Northeast China Yingkou meteorological station since 1904. After quality control and homogenization, we analyze the changes of mean and extreme temperature in the past 114 years. The results show that mean temperature (Tmean), maximum temperature (Tmax), and minimum temperature (Tmin) all have increasing trends during 1904–2017. The increase of Tmin is the most obvious with the rate of 0.34 °C/decade. The most significant warming occurs in spring and winter with the rate of Tmean reaching 0.32 °C/decade and 0.31 °C/decade, respectively. Most of the extreme temperature indices as defined using absolute and relative thresholds of Tmax and Tmin also show significant changes, with cold events witnessing a more significant downward trend. The change is similar to that reported for global land and China for the past six decades. It is also found that the extreme highest temperature (1958) and lowest temperature (1920) records all occurred in the first half of the whole period, and the change of extreme temperature indices before 1950 is different from that of the recent decades, in particular for diurnal temperature range (DTR), which shows an opposite trend in the two time periods.

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