Journal of Accounting and Business Education
Volume 7, Issue 2, March 2023

The Relationship of Compensation for Board of Directors and Board of Commissioners with Corporate Social Irresponsibility

Marlin Pernila Susilawati (Universitas Airlangga)
Iman Harymawan (Universitas Airlangga)



Article Info

Publish Date
01 Mar 2023

Abstract

This study aimed at determining and analyzing the effect of compensation for board of directors and board of commissioners on corporate social irresponsibility. This study used 353 observations of 76 companies listed in the Indonesia Stock Exchange and the Global Reporting Initiative’s database of 2014-2018 and employed the ordinary least square regression analysis method. This study found that board compensation had positive and significant effect on corporate social irresponsibility. This study indicated that the higher the board compensation, the more the company tended to carry out corporate social irresponsibility due to lack of oversight in board decision-making or poor corporate governance practice and the boards’ desire to have them prospered regardless of the stakeholders. This study implied that company managers and stakeholders should determine the amount of board compensation.

Copyrights © 2023






Journal Info

Abbrev

jabe

Publisher

Subject

Education

Description

Journal of Accounting and Business Education aims to help researchers publish their work for a wider audience and discover new connections. Journal of Accounting and Business Education publishes articles from the ideas of philosophical, conceptual, theoretical, critical review, and/or empirical ...