The non-financial reporting practices of Hungarian listed public interest entities considering the 2014/95/EU Directive

PurposeThis paper aims to investigate the non-financial reporting (NFR) practices of Hungarian listed public interest entities for 2016–2018 in terms of the required disclosure content based on the 2014/95/EU Directive (ED).Design/methodology/approach The authors apply content analysis methodology on Hungarian firms subject to mandatory reporting under the ED. The target variable in the multivariate model is the reporting quality (Qi) measured by a combined index.Findings The authors find that the ED had a moderate impact on Hungary's reporting quality because the overall disclosure of the sample only increased from low to medium level. The authors found that the value of intangible assets is a determinant of the reporting quality before and after the implementation of the ED. The findings support the effect of coercive isomorphism on Hungarian NFR practices.Research limitations/implications The limitation of the research is the number of firms examined. However, the authors covered the entire (non-bank) community of the Hungarian firms subject to the ED.Practical implications The authors suggest that reporting entities build upon the synergy between intellectual capital disclosure and NFR when elaborating their reporting strategies. The authors recommend the integration of ethical matters into corporate strategies and policies. Policymakers may consider the revision of the Hungarian regulations. The authors suggest academics embrace these topics in teaching.Originality/value To the best of the authors’ knowledge, this is the first study that investigates the impact of ED in the context of Hungary. The authors contribute to the existing literature by adding the results of the ridge regression model, highlighting the importance of intangible assets.

Defence and unilateral action define US cybersecurity

Significance A recent analysis identified 96 pieces of cybersecurity legislation in the House of Representatives and 61 in the Senate as of December 2021. However, the federal government is moving slowly on changing regulation to boost cybersecurity of critical infrastructure. Impacts Bills to promote the development of the cybersecurity workforce enjoy broad bipartisan support, and are more likely to pass. Cryptocurrency traders should expect more oversight and regulation, especially on transparency requirements and anti-money laundering. Mandatory reporting requirements for ransomware and other types of cyberattacks are likely to be passed eventually. Critical infrastructure firms will face the greatest obligations to inform the government about their cybersecurity.

Environmental disclosure on mandatory and voluntary reporting of Portuguese listed firms: the role of environmental certification, lucratively and corporate governance

Purpose This study aims to construct two environmental disclosure indices (EDI), one obtained from the mandatory reporting (annual report) and the other from the voluntary reporting (sustainability report), to compare their evolution. In addition, the authors developed and evaluated a conceptual model that aims to analyse if the two EDI are affected by industry, environmental certification, lucratively and corporate governance attributes. The legitimacy, signalling and voluntary disclosure theories are used to support the theoretical relationship between the company’s characteristics, corporate governance and environmental disclosure. Design/methodology/approach Using the content analysis technique, the authors have developed two indices to assess the level of environmental disclosure in the companies’ mandatory and voluntary reporting. In addition, to analyse the determinants of EDI, the authors applied the technique of multiple linear regression using panel data. Findings Based on Portuguese listed companies (Euronext-Lisbon), the results, from 2015 to 2017, exhibited an increase of 14.6% and 25.8% for the EDI obtained from the annual reports and for EDI obtained from the sustainability reporting, respectively. In addition, the results revealed that the environmental certification, lucratively, number of members on board and number and proportion of women of the board directors tend to affect the annual reporting EDI. Regarding the sustainability reporting EDI, the results showed that the environmental certification, lucratively and proportion of independent members of the board of directors have an impact on it. Research limitations/implications The study focuses on quantitative rather than qualitative disclosures and it brings some insights to the theoretical field. Practical implications The results obtained can assist corporate decision-making processes regarding the improvement of environmental disclosure, both on the mandatory annual report and on voluntary sustainability reports. Originality/value This study brings new perspectives to this topical issue in accounting. Originally, this study is applied to Portuguese listed companies and it shows different trends and determinants of environmental disclosure when included in the annual reporting or sustainability reporting.

How Did the Czech Fishing Union Convince over 99% of Czech Recreational Anglers to Report Their Harvested Fish and Their Fishing Visits into Their Angling Logbooks?

This study summarizes the recommendations regarding how to set a recreational angling reporting system where over 99% of the anglers report their harvested fish and their fishing visits. We conducted 40 in-depth interviews with anglers and managers of fisheries, where we asked about the reporting of harvested fish and fishing visits and about compliance with reporting and fishing rules. We achieved the high reporting rate by implementing a mandatory reporting system using angling logbooks, where anglers must write down all harvested fish and all fishing visits. The anglers must return the filled in angling logbooks to continue angling legally. The compliance of anglers with the fishing rules is enforced through field inspections by angling guards. The Czech Fishing Union explains the reasoning behind the fishing rules through local angling organisations where the fishery managers know the anglers personally, arguing that if the anglers do not comply with the angling rules, there will be no fish left to catch in the future. Keeping anglers informed regarding any changes to angling rules is critical for maintaining trust. The effective reporting system requires mandatory angling logbooks, but the communication between the Fishing Union and their anglers is essential to ensure that anglers comply with the system.

Using Case Studies to Investigate Cetacean Bycatch/Interaction Under-Reporting in Countries With Reporting Legislation

Accurate reporting of cetacean bycatch in/interaction with fishing gear in fisher logbooks would be of immense scientific value; however, despite some countries having mandatory reporting laws, logbook reporting is widely considered unreliable and cetacean catches are thought to be under-reported. Despite this widespread notion of logbook unreliability, under-reporting has rarely been quantified. For this study, initially we compiled the first comprehensive legislation summary for countries which have cetacean bycatch/interaction reporting laws. We then used data provided by government and research agencies in three case study countries (New Zealand, United States, and Iceland) to test for differences between logbook and observer reported cetacean bycatch. Comparisons were made using paired t-tests and Wilcoxon tests with a set alpha of 0.05. Overall, cetacean bycatch recorded by observers was higher than that from fisher logbooks by an average of 774% in trawls, 7348% in nets, and 1725% in hook and line gears. When combining all years of data available, fisher logbook cetacean catch per unit efforts or average number of individuals caught were significantly less than those from observer data for all gear types that could be examined in all countries, except for lining in New Zealand. Overall, there was significant under-reporting in the case study countries despite differences in geographic location, cetacean species and density and EEZ size, suggesting these results would likely be similar in many countries with comparable, well-developed fishing industries. Under-reporting in logbooks, despite laws, was clearly quantified and it is known that fishers have little incentive to report and have concerns over negative repercussions to the industry over bycatch issues. If logbook reporting is to continue in some fisheries, clearer legislation, simplified reporting using new technology (such as smartphone apps) and combination with electronic monitoring cameras to verify compliance may improve reporting accuracy. The introduction of electronic monitoring, given its lower cost compared to observer programs and high accuracy, may be the most viable option to obtain reliable cetacean bycatch estimates, and could be considered to replace logbook reporting altogether.

Cointegral Crystalization Of Triple Bottom Financial Reports And The Performance Of Hydrocarbon Companies

The study considered the co-integral consequences of Triple Bottom Line financial reports of listed hydrocarbon companies on their financial outlooks. It was conducted to evaluate the crystalized correlation of responsible hydrocarbon companies on their financial fortunes. In simple terms, the research looked for answers to the question of whether it is financially worthwhile for corporate citizens to be responsible. The study employed the expos facto design where secondary data were obtained from the annual reports of the listed hydrocarbon companies on the floor of the Nigerian Stock Exchange. The least-square multiple linear regression analysis methods were employed to establish the degree of financial crystallization consequential to the adoption of the triple bottom reporting format. Social, economic, and environmental reports of the studied listed hydrocarbon companies were co-integrated with the returns on assets of the companies, to establish the level of crystallization of the explanatory variables with the response variable. The crystallized results revealed that economic disclosure and environmental disclosure have limited significant crystallization characteristics on the returns on assets, while social disclosure showed significantly positive crystallization characteristics with returns on assets of the studied companies. Arising from these findings, therefore, the study recommended that a mandatory reporting framework be put in place for hydrocarbon companies listed on the floor of the Nigerian Stock Exchange to encourage sustainability reporting.

Corporate Responses to Tackling Modern Slavery: A Comparative Analysis of Australia, France and the United Kingdom

The business and human rights agenda is gaining momentum internationally, perhaps best evidenced through recent legislative responses to tackling modern slavery. Using a reflexive law lens, we analyse three recent laws – the UK Modern Slavery Act 2015, the French ‘duty of vigilance’ law of 2017, and the Australian Modern Slavery Act 2018 (Cth). The three laws, or their accompanying guidance, share characteristics in terms of reporting requirements: the supply chain; risk mapping/assessment and management; analysis of subsidiary and supply chain risk; and effectiveness. The French Act has a broader scope as it is a due diligence, rather than a reporting law and includes obligations with regard to human rights and fundamental freedoms, health and safety, and the environment. It is the only Act of the three with substantive penalty provisions. All reporting requirements in the French and Australian Acts are mandatory, but the UK Act has limited mandatory reporting requirements. We find that only 22 companies globally will be required to report under all three laws. Using a subset of this dataset, we analysed 59 French vigilance plans and UK modern slavery statements published by nine manufacturing companies. This provided some preliminary analysis of how businesses have reported under the French Droit de Vigilance and the UK Modern Slavery Act (reports under the Australian Modern Slavery Act for these companies were not published at time of writing). Overall, businesses are using less demanding measures such as introducing policies and delivering training more commonly than the somewhat more resource-intensive activities such as audits. The more onerous requirements of the French law were reflected in the content and level of detail in the vigilance plans, compared with the UK modern slavery statements. However, for some companies, there were strong similarities between the UK and French publications, indicating ‘creep’ from the French Act into UK reports or a ‘race to the top’.