The Effect of Compensation Committee on the Relationship between Executive Compensation and Firm Performance
碩士 === 國立彰化師範大學 === 會計學系 === 103 === In 2010, Taiwan set legal requirements that all listed companies and OTC companies must set up the compensation committees. The compensation committees can review executives’ performance evaluation and salary remuneration. The main purpose of this paper is to inv...
| Main Author: | |
|---|---|
| Other Authors: | |
| Format: | Others |
| Language: | zh-TW |
| Online Access: | http://ndltd.ncl.edu.tw/handle/40872328239026586519 |
| Summary: | 碩士 === 國立彰化師範大學 === 會計學系 === 103 === In 2010, Taiwan set legal requirements that all listed companies and OTC companies must set up the compensation committees. The compensation committees can review executives’ performance evaluation and salary remuneration. The main purpose of this paper is to investigate the effect of the establishment of compensation committees on top executives’ pay-performance sensitivity. We use listed companies and OTC companies during 2009-2013 as samples. The results show that the executives’ pay-performance sensitivity is negative and significant after establishing compensation committees. On the contrary, when we consider the independent director’s factor, the results show that executives’ pay-performance sensitivity is positive and significant. We find that corporate governance can enhances the positive association between accounting earnings and top executives’ compensation after establishing compensation committees.
|
|---|