FIRN Women Online Seminars
FIRN Women is hosting online seminars presented by female ECRs in a monthly seminar series. The seminars will be via zoom and will be about an hour long, comprising presentation followed by moderated Q&A.
Next FIRN Women Seminar:
Friday 20 November, 1pm (AEDT)
Danika Wright, University of Sydney
Title: We’re all in this together: Executive pay cuts in the pandemic
Abstract: This paper examines the prevalence and size of temporary pay reductions by corporate executives in response to the COVID-19 crisis. From an analysis of SEC filings, I identify 349 instances of U.S. listed companies announcing temporary pay cuts to CEO base salaries between 1 March and 1 May 2020. The average CEO pay cut is almost 50%, with nearly a quarter of CEOs cutting their pay by over 90%, while non-CEO executives reduce their base pay by almost 30% on average. Though base pay only makes up a small portion of the total compensation for CEOs and executives, I present evidence that these actions are a signal of leadership ethics in a crisis. Using a regression discontinuity design, I show that the COVID-19 shock increased the likelihood of CEO pay cuts in excess of that predicted by negative share price returns during the period. I show that COVID-19 CEO pay cuts are most likely in stakeholder-centred industries, such as retail and entertainment. This implies that executive compensation levels are structured to align with the expectations of a stakeholder base beyond shareholders.
FIRN Women Engagement Meetings
FIRN is hosting bi-monthly online catch-up meetings with VP FIRN Women, Jacquie Humphrey. These informal chats will allow FIRN women to connect with their networks over zoom and a BYO cup of tea. Upcoming dates:
Monday 23 November, 1pm (AEDT)
Look out for the FIRN Women email with the zoom link details