The moderating effects of <scp>CEO</scp> power and personal traits on say‐on‐pay effectiveness: Insights from the <scp>Anglo‐Saxon</scp> economies

This study investigates the efficacy of say-on-pay (SOP) regulation in mitigating excessive CEO compensation and how it is affected by personal traits power distribution inside a corporation. Using IV-GMM method sample 1,931 firms from Australia, Canada, UK, USA, we find that shareholder voices are successful reducing pay gap between CEOs median employee, regardless exact nature regulation. In addition, older associated with lower ratios there some evidences suggesting or female enhance SOP effectiveness. Further, manifested through corporate governance mechanisms matters, as increasing board size director audit committee independence reduce ratio. A measure power, slice, has significant large positive explanatory for model its exclusion can greatly exaggerate estimated impact on Another duality, appears to potency slightly. There also evidence indicating ownership concentration enhances Our findings have implications companies, investors, regulators concerning importance balance structure within corporations.