Sep 2026· The Financial Review· 0 citations· 50 references
Abstract
This study examines how labor protection affects the dynamics of corporate cash policy. Using the staggered adoption of U.S. state‐level wrongful discharge laws, we find that stronger labor protection reduces the speed of cash adjustment by 16.7%. The effect is asymmetric, concentrated among cash‐rich firms, and more pronounced for firms with weak governance, tighter financial constraints, and higher distress risk. We also find that the profitability losses associated with suboptimal cash holdings intensify following adoption. Our findings show that labor protection affects how efficiently firms manage cash, revealing a distinct channel that is less visible when studying cash levels alone.
This study examines the relationship between fintech credit and corporate cash holdings in a global context. Using a sample of 17,930 firms across 30 countries, we find a significant negative relationship between fintech credit and cash holdings. We further provide evidence that fintech credit negatively influences fir...
Manoja Behera, Jitendra Mahakud· Australian Journal of Manage...· 0 citations
This study documents that managers of firms with greater labor mobility (
LM
) face higher personal evaluation risk (i.e., higher likelihood of performance‐driven forced turnover), especially among firms with more transparent performance disclosures. Moreover, managers of high‐
LM
firms tend to adopt lower‐qual...
J. Nguyen, Bu-Hui Qiu, Cameron Truong· International Review of Fina...· 0 citations
We examine the effect of labor market rigidity on firms’ employment decisions in OECD countries using a rich firm-level panel dataset covering 164,048 firm-year observations. Exploiting intertemporal variation in country-level employment protection legislation (EPL), we document a trade-off. While stricter EPL reduces...
M. Koman, M. Rapp, Lars Schaefer et al.· Journal of Labor Research· 0 citations
This study investigates how family control influences the speed at which firms adjust toward their optimal cash holding levels, with a focus on listed companies in African capital markets. It explores whether family-controlled firms exhibit different liquidity behaviors under varying generational, financial, and in...
Adeolu O. Adewuyi, Idorenyin J. Okon· International Journal of Eme...· 0 citations
This study investigates the impact of board gender diversity on corporate cash holdings in non-financial firms listed on Bahrain Bourse, with dividend yield behaving as a mediator and political connections as a moderator. Analysis of panel data from 2014 to 2023 utilizing fixed and random effects models indicates that...
We examine the short‐term stock market reaction to the implementation of India's four consolidated Labour Codes on November 21, 2025. Employing the event study method on 1871 National Stock Exchange‐listed firms, we find a significant negative aggregate market reaction, with a cumulative average abnormal return of ap...
M. Duggal, Dharen Kumar Pandey· Review of Financial Economic...· 0 citations
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