Demographic diversity on boards and employer/employee relationship

Ji LI, Ying Zhang, Silu Chen, Wanxing Jiang*, Shanshan Wen, Yanghong Hu

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

1 Citation (Scopus)

Abstract

Purpose: The purpose of this paper is to explore the relationship between demographic diversity on boards and employer/employee relationship (EER) and to test the moderating effect of contextual factors such as a firm’s financial situation. Design/methodology/approach: This paper analyzes data from over 1,000 publicly listed US firms and uses hierarchical regression. Findings: Demographic diversity on boards of a given firm, such as ethnic diversity and gender diversity, should have positive effects on EER, which can be considered as an important dimension of overall human resource management performance in a given firm. Contextual factors such as a firm’s financial situation should moderate the relationship between demographic diversity on boards and the EER. Originality/value: First, this research contributes to the current literature by showing that EER can be influenced by demographic diversity on boards, which further helps to highlight the beneficial effect of demographic diversity in top management team. Second, this study uncovers the moderating role of some contextual factors such as a firm’ financial situation. Third, this study also contributes to the corporate governance literature by studying the link between demographic diversity on boards and EER.

Original languageEnglish
Pages (from-to)298-312
Number of pages15
JournalEmployee Relations
Volume40
Issue number2
DOIs
Publication statusPublished - 2018

Scopus Subject Areas

  • Industrial relations
  • Organizational Behavior and Human Resource Management

User-Defined Keywords

  • Demographic diversity on boards
  • Employee relationship
  • Firm financial situation

Fingerprint

Dive into the research topics of 'Demographic diversity on boards and employer/employee relationship'. Together they form a unique fingerprint.

Cite this