Earticle

초록

영어

This paper studies how the labor union strength affects the repurchase decision. We argue that a low (high) unionized firm is more (less) likely to buy back shares. The low unionized firm may buy back more shares because of the wealth transfer effect between shareholders and labors. In addition, the high unionized firm may not buy back shares to avoid infuriating the powerful union. Yet, we also find that, once the high unionized repurchaser decides to buy back shares, the firm will complete the repurchase program against the labor union. Therefore, a negative relation between the post-buyback abnormal return and the extent to the unionization is suggested. Finally, we find that the impact of union on the repurchase decision is reduced if the buyback is associated with the mergers or employee stock options, and impact is increased whenever the buyback is related to the excess cash distribution or the corporate governance of the firm is well.

목차

Abstract
 1. Literature Review on Labor Studies
 2. Data ad Methodologies
  2.1 Data
  2.2 Proxies for union strength
  2.3 Buy-and-hold abnormal return estimation
  2.4 Summary Statistics
 3. Relation between Labor Union and Share Repurchases
  3.1 Buyback regression analyses
  3.2 Regression analyses of changes in labor intensity
  3.3 Strikes and share repurchases
  3.4 Tobit regression analysis of completion ratio
  3.5 Buy-and-hold abnormal return regression
 4. Repurchase Motives and Impact of Union on Repurchases
  4.1 M&A, employee stock option and the impact of union on share repurchases
  4.2 Excess cash, corporate governance and the impact of union on share repurchases
 5. Conclusion
 Reference
 Table
 Figure

키워드

저자

• Sheng-Syan Chen [ Department of Finance College of Management National Taiwan University, Taiwan ]
• Yan-Shing Chen [ Department of Finance National Yunlin University of Science and Technology, Taiwan ]
• Yanzhi Wang [ Discipline of Finance College of Management Yuan Ze University, Taiwan ]

참고문헌

발행기관

간행물

표지보기 관심저널 등록

• 간행물명

  한국재무학회 학술대회

• 간기

  부정기

• 수록기간

  2006~2024

• 십진분류

  KDC 325 DDC 330