Executive compensation among Australian mining and non-mining firms: Risk taking, long and short-term incentives

Yarram, Subba Reddy; Rice, John

doi:10.1016/j.econmod.2017.03.034

Cited by 8 publications

(7 citation statements)

References 47 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…The interaction of the presence of the compensation committee and ROA revealed a significant positive effect on CEO salary performance, and the interaction of the effectiveness of the compensation committee and ROA had a positive effect on total CEO compensation (Kanapathippillai et al, 2019). The remuneration committee moderates the effect of market capital on full pay, which is negatively significant for mining companies but not significant for non-mining companies in Australia (Yarram and Rice, 2017). The nomination and remuneration committee positively moderates the director pay slice on ROA, ROE, ROA earnings before interest and tax (EBIT) and ROEEBIT but not Tobin's q, and the remuneration nomination committee positively moderates the director pay slice on ROA, ROAEBIT and ROEEBIT in the future but does not moderate ROE and Tobin's q (Rahayu et al, 2022).…”

Section: Moderation Researchmentioning

confidence: 90%

“…Due to the busyness of the executive and board involved in the monitoring function, institutional investors and shareholders view the nomination committee as an important signal of the board's ability to build and maintain independence (Shivdasani and Yermack, 1999). The presence of the nomination and remuneration committee in several studies shows increased access to resources to reduce agency costs, improving company performance (Harymawan et al, 2020;Vinjamury, 2020), board gender diversity (Hutchinson et al, 2015) and CEO compensation and executive (Kanapathippillai et al, 2016;Khan et al, 2023;Yarram and Rice, 2017). Table 2 presents several studies related to the presence of the nomination and remuneration committee.…”

Section: The Existence Of a Nomination And Remuneration Committeementioning

confidence: 99%

See 1 more Smart Citation

Nomination and remuneration committee: a review of literature

Putra,

Setiawan

2024

JCMS

View full text Add to dashboard Cite

PurposeThis paper aims to synthesize the diverse literature on nomination and remuneration committees and provide avenues for future research.Design/methodology/approachThis study provides a comprehensive literature review of theoretical and empirical studies published in reputable international journals indexed by Scopus.FindingsThe literature review reveals several aspects of the nomination and remuneration committee. These aspects have been classified into the definition of the nomination and remuneration committee, dimensions of the nomination and remuneration committee, measurement and research review results, reasons for conflict empirical findings, company dynamics and research on moderators, as well as recommending future research.Research limitations/implicationsOur literature review shows that nomination and remuneration committees play a role in improving board performance and company performance, reducing agency conflicts and improving corporate governance to provide implications for companies, regulators and investors and pave the way for future research.Originality/valueThis paper identifies issues related to nomination and remuneration committees, their theoretical and practical implications and avenues for future research.

show abstract

Section: Moderation Researchmentioning

confidence: 90%

Section: The Existence Of a Nomination And Remuneration Committeementioning

confidence: 99%

Nomination and remuneration committee: a review of literature

Putra,

Setiawan

2024

JCMS

View full text Add to dashboard Cite

show abstract

“…Furthermore, optimal contracting theorists attribute skyrocketing executive pay to talent scarcity and the increasing complexity of management duties, whereas managerial power theory credits the rise in executive pay to rent extraction by entrenched executives rather than market forces. (Rogal, 2019;Yarram & Rice, 2017).…”

Section: Theories Of Executive Compensationmentioning

confidence: 99%

Effect Of CEO Compensation on Dividend Payout Policy

K.,

J.,

2023

African Journal of Accounting and Financial Research

View full text Add to dashboard Cite

Purpose - This study seeks to investigate the association between CEO compensation and dividend payout policy among listed firms in Kenya. Design/methodology/approach - The study used a sample of 40 firms listed in the Nairobi Securities Exchange(NSE) over the period 2009-2019. Data was analysed using fixed and random effect models to test the research hypothesis. Findings - The empirical results show that CEO compensation is significantly and positively associated with dividend payout policy. Practical implications – The study indicates that CEO compensation can be used as a corporate governance mechanism to lower agency conflict. Therefore, the findings offer useful information for managers and regulators in evaluating the effect of CEO compensation on shareholder return. Research limitations/implications - Due to a lack of data on equity compensation, the study cannot conclusively determine the effect of CEO compensation on dividend payout policy. Originality/value - Unlike previous studies that focused on the relationship between CEO compensation and accounting-based measures such as firm performance, this study contributes to the literature by examining the relationship between CEO compensation and dividend payout policy.

show abstract

“…Madimu (2022) argues that the mining sector in South Africa has experienced a continuing decline in recent years with regard to economic feasibility and productivity. Mining, by its very nature of being a "price taker," experiences earnings volatility with huge investments in capital expenditure, as well as an uncertain and fluid operating environment (Yarram and Rice 2017). Despite a decline in the performance of the South African mining sector that emanated from the protest actions, executives still appear to believe that they deserve exorbitant pay packages (Viviers 2015).…”

Section: Introductionmentioning

confidence: 99%

Executive Compensation and Company Performance: Pre- and Post-Marikana Uprising Analysis

Nkwadi

Matemane

2022

SABR

View full text Add to dashboard Cite

Background: Executive compensation has become a controversial topic globally. Recent and past incidents of labour unrest, including those that plagued the South African mining sector in 2012, highlighted the level of controversy on the subject. Purpose: The purpose of this study was to investigate the relationship between executive compensation and company performance in the mining sector of the Johannesburg Stock Exchange (JSE). Methodology: The study was quantitative in nature and used purposive sampling in selecting 28 mining companies listed on the JSE. Estimated generalised least squares (EGLS) and seemingly unrelated regression (SUR) were used to analyse unbalanced panel data spanning from 2007 to 2018. Findings: The results show that there is no relationship between executive compensation and market value added (MVA), revenue growth (RG), return on assets (ROA), and return on equity (ROE) both before and after the Marikana event. In the period before the Marikana event, 2007–2012, economic value added (EVA), share price (SP) and total assets (TA) were statistically significant in explaining variability in executive compensation. However, in the post-Marikana period, 2013–2018, only the TA and earnings per share (EPS) are statistically significant in explaining the variability in executive compensation. Value: This study offers a practical contribution to policy makers and practitioners on pertinent performance measures that can aid in minimising agency costs when designing executive compensation plans.

show abstract

Executive compensation among Australian mining and non-mining firms: Risk taking, long and short-term incentives

Cited by 8 publications

References 47 publications

Nomination and remuneration committee: a review of literature

Nomination and remuneration committee: a review of literature

Effect Of CEO Compensation on Dividend Payout Policy

Executive Compensation and Company Performance: Pre- and Post-Marikana Uprising Analysis

Contact Info

Product

Resources

About