The Link Between Job Satisfaction and Firm Value, With Implications for Corporate Social Responsibility

  title={The Link Between Job Satisfaction and Firm Value, With Implications for Corporate Social Responsibility},
  author={Alex Edmans},
  journal={Academy of Management Perspectives},
  • Alex Edmans
  • Published 2012
  • Business
  • Academy of Management Perspectives
  • How are job satisfaction and firm value linked? I tackle this long-standing management question using a new methodology from finance. I study the effect on firm-level value, rather than employee-level productivity, to take into account the cost of increasing job satisfaction. To address reverse causality, I measure firm value by using future stock returns, and control for risk, firm characteristics, industry performance, and outliers. Companies listed in the "100 Best Companies to Work For in… CONTINUE READING
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