| After the financial crisis in 2008,the emergence of "sky-high compensation" in banking executives is severely decoupled from their performance,which makes more and more scholars turn their attention to the relationship between executive compensation and bank performance.In order to avoid the negative impact of the financial crisis on the bank and even the whole economic environment,the Chinese government has issued a series of management measures to limit the compensation of bank executives by the CBRC,the Ministry of Finance and other institutions.For example,in 2010,the CBRC issued the Guidelines for the Supervision of Commercial Banks’ Steady Compensation.The deferred compensation of executives is linked to the bank performance and risk,which can be used to promote sustained and steady operation of commercial banks through the compensation mechanism.Under the background of government regulation,based on the principal-agent theory,optimal contract theory,management power theory,human capital theory and vicious circle theory,this paper combines with the subjective psychological perception of unfairness.Bank executives who have deferred compensation may choose alternative compensation incentives,such as perk consumption,resignation.This paper chooses 75 commercial banks in China from 2005 to 2017 as samples.This paper takes perk consumption and the turnover rate of executives as mediators to study the influence mechanism of deferred compensation on bank performance,and constructs mediating effect models.Based on the empirical results,this paper concludes:perk consumption and turnover rate play a partial mediating effect between deferred compensation and bank performance.Deferred compensation can reduce bank performance by increasing perk consumption and turnover rate.Finally,this paper puts forward the following four policy recommendations:Firstly,optimize the internal governance mechanism of banks;Secondly,build a reasonable incentive and constraint mechanism of executive compensation;Thirdly,improve the transparency of compensation determination mechanism and strengthen supervision;Fourthly,pay attention to the dynamic changes of executive psychological factors and take effective measures to encourage them. |
