IDEAS home Printed from https://ideas.repec.org/a/tra/jlabre/v27y2006i1p89-99.html
   My bibliography  Save this article

How Age Discrimination in Employment Affects Stockholders

Author

Listed:
  • NANCY D. URSEL
  • MARJORIE ARMSTRONG-STASSEN

Abstract

We analyze the impact on stock prices, and thus on stockholders, of 84 newspaper announcements regarding corporate age discrimination lawsuits. We find that, on average, initial announcements cause a 2 percent decline in stock price, a $40 million average loss in total stock value for the large firms charged. The stock price decreases are consistent with investor concerns about the firms' ability to attract and retain good employees given the discrimination charges. Though age discrimination in employment is a pervasive and growing problem, such findings may discourage managers from engaging in discriminatory practices.

Suggested Citation

  • Nancy D. Ursel & Marjorie Armstrong-Stassen, 2006. "How Age Discrimination in Employment Affects Stockholders," Journal of Labor Research, Transaction Publishers, vol. 27(1), pages 89-99, January.
    • Handle: RePEc:tra:jlabre:v:27:y:2006:i:1:p:89-99
    as

    Download full text from publisher

    File URL: http://transactionpub.metapress.com/link.asp?target=contribution&id=97WM4HVHPD0NVXJ9
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Derek Messacar & Petr Kocourek, 2019. "Pathways to Retirement, Well-Being, and Mandatory Retirement Rules: Evidence from Canadian Reforms," Journal of Labor Research, Springer, vol. 40(3), pages 249-275, September.
    2. Unsal, Omer & Brodmann, Jennifer, 2019. "Workplace environment and payout policy," Journal of Economics and Business, Elsevier, vol. 106(C).
    3. Aurelian SOFICĂ, 2012. "The social network of actors influencing age discrimination in the human resources recruiting process," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 3, pages 169-188, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tra:jlabre:v:27:y:2006:i:1:p:89-99. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Christopher F. Baum (email available below). General contact details of provider: http://transactionpub.metapress.com/link.asp?target=journal&id=110581 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.