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Impact of employee compensation structure on company performance: Moderating effects of ownership concentration

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  • Liu, Xia
  • Cheng, FangJingya
  • Zhang, Ronghe
  • Li, Zhuohang

Abstract

This study uses Chinese listed companies from 2011 to 2022 as the sample. Empirical analysis explored the impact of employee compensation structure on company performance and the moderating effects of ownership concentration. Employee compensation was positively correlated with company performance. The impact of employee compensation on the performance of state-owned and private enterprises was heterogeneous. Ownership concentration moderated the relationship between employee compensation and company performance. When executive compensation and employees change positively and synchronously, company performance improves.

Suggested Citation

  • Liu, Xia & Cheng, FangJingya & Zhang, Ronghe & Li, Zhuohang, 2025. "Impact of employee compensation structure on company performance: Moderating effects of ownership concentration," Finance Research Letters, Elsevier, vol. 74(C).
    • Handle: RePEc:eee:finlet:v:74:y:2025:i:c:s1544612324017318
    DOI: 10.1016/j.frl.2024.106702
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    References listed on IDEAS

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