Isabel‐María García‐Sánchez, Salvador Marín‐Hernández, Esther Ortiz‐Martínez, Beatriz Aibar‐Guzmán
{"title":"Diversity, equity, and inclusion reporting in European Union companies: The role of female directors and the European regulatory framework","authors":"Isabel‐María García‐Sánchez, Salvador Marín‐Hernández, Esther Ortiz‐Martínez, Beatriz Aibar‐Guzmán","doi":"10.1002/bse.3854","DOIUrl":null,"url":null,"abstract":"Equality, equity, and nondiscrimination are core human rights and prerequisites for peace, prosperity, and sustainability that require the commitment of all actors. They have received considerable attention from the European Union, leading to the development of a regulatory framework aimed at promoting gender diversity and the disclosure of information on diversity, equity, and inclusion by European companies. Considering the regulatory pressure from the institutional environment of the European Union that characterizes the period 2011–2020, this study aims to analyze the role played by female directors in promoting diversity, equity, and inclusion disclosures of 189 large European companies. Based on international guidelines and recommendations as well as European legislation, we developed a transparency score that assesses the relevance, standardization, reliability, and completeness of the diversity, equity, and inclusion information disclosed by these companies. Using a Tobit regression approach for panel data, we show that board diversity has a positive effect on the information reported by European companies, although this effect is only associated with having at least three female directors or gender‐balanced boards. Moreover, the European institutional context in force since 2014 favors corporate transparency on equality, equity, and inclusiveness practices of European companies and encourages the consideration of the views of minority female directors. The results can improve the understanding of gender equality and corporate transparency regarding diversity, equity, and inclusion decisions made by companies in light of the advent of new mandatory requirements within the EU and the extension of their scope to a wider range of companies.","PeriodicalId":9518,"journal":{"name":"Business Strategy and The Environment","volume":null,"pages":null},"PeriodicalIF":12.5000,"publicationDate":"2024-06-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Business Strategy and The Environment","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.1002/bse.3854","RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"BUSINESS","Score":null,"Total":0}
引用次数: 0
Abstract
Equality, equity, and nondiscrimination are core human rights and prerequisites for peace, prosperity, and sustainability that require the commitment of all actors. They have received considerable attention from the European Union, leading to the development of a regulatory framework aimed at promoting gender diversity and the disclosure of information on diversity, equity, and inclusion by European companies. Considering the regulatory pressure from the institutional environment of the European Union that characterizes the period 2011–2020, this study aims to analyze the role played by female directors in promoting diversity, equity, and inclusion disclosures of 189 large European companies. Based on international guidelines and recommendations as well as European legislation, we developed a transparency score that assesses the relevance, standardization, reliability, and completeness of the diversity, equity, and inclusion information disclosed by these companies. Using a Tobit regression approach for panel data, we show that board diversity has a positive effect on the information reported by European companies, although this effect is only associated with having at least three female directors or gender‐balanced boards. Moreover, the European institutional context in force since 2014 favors corporate transparency on equality, equity, and inclusiveness practices of European companies and encourages the consideration of the views of minority female directors. The results can improve the understanding of gender equality and corporate transparency regarding diversity, equity, and inclusion decisions made by companies in light of the advent of new mandatory requirements within the EU and the extension of their scope to a wider range of companies.
期刊介绍:
Business Strategy and the Environment (BSE) is a leading academic journal focused on business strategies for improving the natural environment. It publishes peer-reviewed research on various topics such as systems and standards, environmental performance, disclosure, eco-innovation, corporate environmental management tools, organizations and management, supply chains, circular economy, governance, green finance, industry sectors, and responses to climate change and other contemporary environmental issues. The journal aims to provide original contributions that enhance the understanding of sustainability in business. Its target audience includes academics, practitioners, business managers, and consultants. However, BSE does not accept papers on corporate social responsibility (CSR), as this topic is covered by its sibling journal Corporate Social Responsibility and Environmental Management. The journal is indexed in several databases and collections such as ABI/INFORM Collection, Agricultural & Environmental Science Database, BIOBASE, Emerald Management Reviews, GeoArchive, Environment Index, GEOBASE, INSPEC, Technology Collection, and Web of Science.