The relationship among employee mobility and corporate governance: Evidence from Taiwan's food industry and technology industry

Abstract

AbstractThis research investigates the relationships among operating environment, corporate governance, and employee mobility in Taiwan's food industry and technology industry. Findings show that both industry concentration and operating environment have a significant relationship with employee mobility, implying that when a firm has a market share advantage, then it should provide a better welfare mechanism. Corporate governance also has an impact on employee mobility. When the shareholding ratios of major shareholders and managers increase, more attention should be paid to the promotion and feedback mechanism of grassroots employees. Thus, corporate governance should be designed to take into account shareholder expectations and employee stability. From the empirical results, we see that the conditions of corporate governance are important factors affecting employee mobility. This study compares the food industry and the technology industry and finds that the relationship between corporate governance and employee mobility runs in opposite directions between the two industries, which means that corporate governance in the technology industry and the food industry exhibits different benefits.