IDEAS home Printed from https://ideas.repec.org/a/bla/jbfnac/v52y2025i5p2392-2414.html

Board Co‐Option and Workplace Safety

Author

Listed:
  • Mohammad Hashemi Joo
  • Edward Lawrence
  • Ali M. Parhizgari
  • Yuka Nishikawa

Abstract

We investigate the effect of board co‐option on workplace safety and find that firms with a higher proportion of co‐opted directors on their boards experience higher workplace injury/illness rates. We also explore how board co‐option may increase workplace injury/illness rates and attribute that to lower investments in safety measures and heavier workloads. Further analyses reveal that external monitoring through greater institutional ownership and analyst coverage can moderate the negative effect of board co‐option on workplace safety. Our results support the argument that the interests of co‐opted directors are closely aligned with those of the CEO, who is instrumental in their selection, thereby compromising their monitoring role.

Suggested Citation

  • Mohammad Hashemi Joo & Edward Lawrence & Ali M. Parhizgari & Yuka Nishikawa, 2025. "Board Co‐Option and Workplace Safety," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 52(5), pages 2392-2414, November.
    • Handle: RePEc:bla:jbfnac:v:52:y:2025:i:5:p:2392-2414
    DOI: 10.1111/jbfa.70003
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/jbfa.70003
    Download Restriction: no
    File URL: https://libkey.io/10.1111/jbfa.70003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    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:bla:jbfnac:v:52:y:2025:i:5:p:2392-2414. 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: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0306-686X .

    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.