The Impact of Union Chairman-Executive Duality on Employee Salary: The Case of Chinese Listed Companies

Abstract

This paper holds that Union chairman and executive duality reflects the willingness of management to "proactively" pay attention to employees' interests. This paper starts from the attention-based view of the firm and takes Chinese listed companies from 2010 to 2017 as the research sample to discuss the relationship between Union chairman and executive duality and employee compensation. The empirical research shows that: (1) Union chairman and executive duality helps to narrow the executive-employee pay gap; (2) The power of senior executives positively regulates the relationship between Union chairman and executive duality and the executive-employee pay gap; (3) The alliance power of the President of the trade union positively regulates the relationship between Union chairman and executive duality and the executive-employee pay gap.