Abstract:
Purpose – Using the resource dependence and legitimacy theories, this research aims to examine the
relationship between board attributes and human rights reporting, as well as the interaction effect of
board chairperson experience on the relationship among listed firms at the Nairobi Securities Exchange
(NSE).
Design/methodology/approach – This study collected data from annual reports of firms listed on the
NSE from 2009 to 2019 using content analysis to examine how boards influence human rights reporting. A
total of 547 firm-year observations were used to test the hypotheses. This study used a hierarchical
regression model to examine the relationship.
Findings – This study found that board attributes are important predictors of human rights reporting. This
study shows that both board diversity and board independence have a positive impact on human rights
reporting. Furthermore, the interaction results revealed that having a highly experienced chairperson
strengthens the effect of board independence on human rights reporting; however, this study found that
experienced chairperson reduces the influence of board diversity on human rights reporting.
Research limitations/implications – The findings suggest that board diversity and independence are
essential attributes to which listed companies should pay attention when appointing board members.
Moreover, the chairperson’s leadership on the board is critical in ensuring that publicly trading
companies adopt policies that disclose human rights information.
Originality/value – This paper provides insights into Kenya’s human rights disclosure practices. It also
analyzes how boards influence human rights disclosures, an empirical test that has received little
attention in the previous literature. This study emphasizes the importance of board members and the
chairperson in advocating for human rights reporting to improve corporate sustainability.