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Publications
Publications
  • 2022
  • Working Paper

Communicating Corporate Culture in Labor Markets: Evidence from Job Postings

By: Joseph Pacelli, Tianshuo Shi and Yuan Zou
  • Format:Electronic
  • | Language:English
  • | Pages:50
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Abstract

We examine how firms craft their job postings to convey information about their culture and whether doing so helps attract employees. We utilize state-of-the-art machine learning methods to develop a comprehensive dictionary of key corporate values across the near universe of job postings. Our analyses demonstrate that culture information in job postings helps firms better attract job seekers, as it is associated with higher worker inflows, shorter job posting vacancies, and lower subsequent worker outflows. Culture information has a more pronounced effect on worker inflows when job seekers face information frictions in learning about culture through other sources. Additional analyses indicate that interviews are more likely to lead to job offers for firms highlighting culture in their job postings, indicating that culture information helps job seekers sort into culturally fit companies. Overall, our findings suggest that job postings are an important mechanism for communicating cultural values to prospective employees.

Keywords

Corporate Culture Significance; Labor Markets; Disclosure; Organizational Culture; Recruitment; Talent and Talent Management

Citation

Pacelli, Joseph, Tianshuo Shi, and Yuan Zou. "Communicating Corporate Culture in Labor Markets: Evidence from Job Postings." Working Paper, October 2022.
  • SSRN

About The Authors

Joseph Pacelli

Accounting and Management
→More Publications

Yuan Zou

Accounting and Management
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More from the Authors
  • Generative AI Use by Capital Market Information Intermediaries: Evidence from Seeking Alpha By: Mark Bradshaw, Chenyang Ma, Benjamin Yost and Yuan Zou
  • Japan Industrial Partners Powers the Leveraged Buyout of Toshiba By: Brian K. Baik, Joseph Pacelli and James Barnett
  • WallStreetBets: Democratizing Retail Investing By: Joseph Pacelli and Alexis Lefort
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