State-level culture and workplace diversity policies: evidence from US firms

This paper examines the effect of state-level culture in the US on the adoption of firms’ workplace diversity policies. Using firm-level panel data (1592 firm-year observations) over the period 2011-2014, we document that firms in highly individualistic states are less likely to adopt workplace dive...

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Bibliographic Details
Published in:Journal of business ethics
Authors: Nadarajah, Sivathaasan (Author) ; Atif, Muhammad (Author) ; Gull, Ammar Ali (Author)
Format: Electronic Article
Language:English
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Published: Springer Science + Business Media B. V 2022
In: Journal of business ethics
Further subjects:B Aufsatz in Zeitschrift
B Workplace diversity policies
B Culture
B Firm Performance
Online Access: Presumably Free Access
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Summary:This paper examines the effect of state-level culture in the US on the adoption of firms’ workplace diversity policies. Using firm-level panel data (1592 firm-year observations) over the period 2011-2014, we document that firms in highly individualistic states are less likely to adopt workplace diversity policies, which in turn negatively affects firm performance. Our results are robust to alternative variables and econometric specifications. Our findings provide insights into the contemporary debate on the economic aspects of workplace diversity policies for firms operating in different cultural backgrounds.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-021-04742-2