Affiliation:
1. Faculty of Business Administration Memorial University of Newfoundland St. John's Newfoundland and Labrador Canada
2. John Molson School of Business Concordia University Montreal Quebec Canada
Abstract
AbstractDoes a firm's tolerance and nurturing of its employees with different sexual orientations influence its long‐term sustainability? Based on corporate sexual orientation equality (CSOE), we find that firms with higher CSOE ratings emit less greenhouse gases (GHGs) that thereby ensure long‐term sustainability. In addition, we report that the CSOE–GHG relationship is stronger for firms with less agency issues (e.g., less powerful CEOs and more monitoring). Finally, we find that carbon emitting firms (CEFs) that invest in more CSOE initiatives do not do it for external rewards (e.g., they suffer from lower valuations and face higher costs of raising capital).
Funder
Social Sciences and Humanities Research Council of Canada
Subject
Economics, Econometrics and Finance (miscellaneous),Finance,Accounting
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