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Paulo Pereira da Silva & Pinheiro, C. (2025). Does workforce wellbeing influence corporate efficiency?. Seminário,.
P. P. Silva and C. M. Pinheiro, "Does workforce wellbeing influence corporate efficiency?", in Seminário, 2025
@misc{silva2025_1788558865000,
author = "Paulo Pereira da Silva and Pinheiro, C.",
title = "Does workforce wellbeing influence corporate efficiency?",
year = "2025"
}
TY - CPAPER TI - Does workforce wellbeing influence corporate efficiency? T2 - Seminário AU - Paulo Pereira da Silva AU - Pinheiro, C. PY - 2025 AB - The core research question addressed in this paper is whether the wellbeing of the workforce contributes to corporate technical efficiency. It is widely recognized that job satisfaction, working in a healthy and safe workplace, diversity, equal opportunities, and development growth (denoted wellbeing) is closely related to productivity. Although the influence of the workforce on firms' ability to maximize output given a set of inputs (i.e. firm efficiency) has not been widely studied, empirical literature has recognized workforce wellbeing is closely related to productivity. Based on a measure of workforce wellbeing of US listed firms across industries from 2005 to 2019, our study makes a novel contribution to this literature. We find a positive association between workforce wellbeing and technical efficiency that is both economically substantial and statistically significant. Firm inefficiency is explained by firm-specific factors and is a decreasing (increasing) function of size and external monitoring (leverage, blockholdings, and foreign sales). This inefficiency can be mitigated through employee-oriented practices, external governance mechanisms and market surveillance. From a policy perspective, our findings highlight the practical impact of workforce wellbeing on corporate technical efficiency. ER -
English