Board Structure and Executive Compensation in the Public Sector: New Zealand Evidence

Steven F. Cahan, Frances Chua, Robert Ochoki Nyamori

Research output: Contribution to journalArticlepeer-review

30 Citations (Scopus)

Abstract

We provide evidence on the relation between board structure and CEO compensation in public sector corporations in New Zealand. Using a sample of 80 New Zealand public sector companies, we find that similar to private sector studies, CEO compensation is related to board size, whether the CEO sits on the board, and director quality. We also find that a composite measure of board structure is significant. We conclude that, similar to the private sector, board structure is important in constraining CEO pay. Moreover, our results suggest that private sector-style board can be effective in a public sector context.

Original languageEnglish
Pages (from-to)437-465
Number of pages29
JournalFinancial Accountability and Management
Volume21
Issue number4
DOIs
Publication statusPublished - Nov 1 2005
Externally publishedYes

Keywords

  • board of directors
  • corporate governance
  • executive compensation
  • public sector

ASJC Scopus subject areas

  • Business, Management and Accounting(all)
  • Economics, Econometrics and Finance(all)

Fingerprint

Dive into the research topics of 'Board Structure and Executive Compensation in the Public Sector: New Zealand Evidence'. Together they form a unique fingerprint.

Cite this