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Minimum wage level and corporate ESG performance

Author

Listed:
  • Zhang, Min
  • Wu, Dan
  • Huang, Gongcheng

Abstract

This paper explores the cost-effectiveness of minimum wage level and their relationship with corporate ESG performance from a theoretical perspective and empirically examines their impact on corporate ESG performance. The study finds that minimum wage level significantly promotes corporate ESG performance, even after considering endogeneity issues. Moreover, the impact of minimum wage level on corporate ESG performance varies across different geographical locations. The mechanism analysis reveals that minimum wage level primarily enhances corporate ESG performance by improving productivity.

Suggested Citation

  • Zhang, Min & Wu, Dan & Huang, Gongcheng, 2024. "Minimum wage level and corporate ESG performance," Finance Research Letters, Elsevier, vol. 67(PA).
    • Handle: RePEc:eee:finlet:v:67:y:2024:i:pa:s1544612324008134
    DOI: 10.1016/j.frl.2024.105783
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    References listed on IDEAS

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