EFEITO DAS PRÁTICAS ESG NO DESALINHAMENTO ENTRE REMUNERAÇÃO EXECUTIVA E O DESEMPENHO ORGANIZACIONAL NAS EMPRESAS LISTADAS NA B3

Renata Pesente; Cristian Baú Dal Magro; Sady Mazzioni; Mara Vogt

doi:10.1590/SciELOPreprints.16281

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Renata Pesente Community University of Chapecó Region - Unochapecó https://orcid.org/0009-0007-8813-5004
- Conceptualization
- Data Curation
- Formal Analysis
- Investigation
- Methodology
- Writing – Original Draft Preparation
Cristian Baú Dal Magro Community University of Chapecó Region - Unochapecó https://orcid.org/0000-0002-7609-5806
- Data Curation
- Methodology
- Project Administration
- Software
- Supervision
- Validation
- Visualization
- Writing – Review & Editing
Sady Mazzioni Community University of Chapecó Region - Unochapecó https://orcid.org/0000-0002-8976-6699
- Supervision
- Validation
- Visualization
- Writing – Review & Editing
Mara Vogt Community University of Chapecó Region - Unochapecó https://orcid.org/0000-0002-3951-4637
- Supervision
- Validation
- Visualization
- Writing – Review & Editing

DOI:

https://doi.org/10.1590/SciELOPreprints.16281

Keywords:

Executive Compensation, Environmental, Social and Corporate Governance, Agency Theory, Organizational Performance

Abstract

The Environmental, Social and Governance (ESG) pillars can play a fundamental role in aligning the interests of managers and shareholders, since shareholders seek tools that align managers' objectives with their own interests. In this sense, this research seeks to contribute to these discussions, as it aims to analyze the influence of ESG practices on the misalignment between executive compensation and organizational performance in companies listed on B3. To this end, descriptive research with a quantitative approach was carried out using documentary databases. Panel data regression was applied to a set of information registered in the period from 2010 to 2022 for Brazilian companies listed on B3. It is concluded that ESG practices reduce the misalignment between executives' variable compensation and organizational performance, and the research hypothesis was not rejected. Furthermore, regarding share-based compensation, the social and governance pillars influence the reduction of the misalignment between share-based compensation and organizational performance. However, the environmental pillar positively influences the misalignment between stock-based compensation and organizational performance. The research results expand on the issues related to ESG and the misalignment between compensation and performance.