Board gender diversity and social disclosures: some empirical evidence from Indian companies

• Published in: Corporate communications 2024-11, Vol.29 (6), p.860-878
• Main Authors: Arora, Akshita, Singh, Kuldeep
• Format: Article
• Language: English
• Subjects: Boards of directors; Collective action; Decision making; Dependency theory; Developing countries; Employees; Gender; LDCs; Outdoor air quality; Policies; Women
• ISSN: 1356-3289; 1758-6046
• DOI: 10.1108/CCIJ-01-2024-0003

PurposeThe objective of this study is to assess if corporate social disclosures in a company are influenced by gender diversity at board level. We also investigate the number of women directors, who can collectively make an impact on social disclosures, by considering different numbers of women directors on the board.Design/methodology/approachWe have measured board gender diversity using the ratio of women at board and have also used two indices: the Blau-index and the Shannon-index. The social disclosure index is fetched from Bloomberg terminal. The research is quantitative and has been carried out using panel data models for estimating the linkage between board gender diversity and corporate social disclosures.FindingsOur results support the idea that women are more conscious of social concerns and that having a gender diverse board has a favourable impact on social disclosures. It also shows that when there is only one woman director on the board, she might not be able to affect social disclosures in a company; however, two or more women on board may significantly influence social disclosures.Practical implicationsThe study supports critical mass theory and has significant implications for academics, corporations and regulatory bodies. With the mandatory regulations on women directors, the study determines the significance of board gender diversity to improve policies for disseminating information of social nature.Originality/valueThe past studies have so far inspected the impact of gender diversity on financial performance, corporate social responsibility disclosures, dividend policies and corporate sustainability disclosures but have not specifically assessed the influence of gender diversity on social disclosures.