Post-merger Restructuring of the Labor Force

Seminar summary

We study the restructuring of the labour force after M&As by taking a comprehensive view that analyses targets, acquirers, and merged firms. We show that acquirers’ establishments grow significantly, but most of their growth results from recruiting new employees, not from transferring employees from the target. Employee turnover after acquisitions is large as many jobs but only few employees move from the target to the acquirer. Many employees leave the merged firm, the majority voluntarily. Restructuring involves significant changes to management and the organization of the firm. Our findings highlight that redrawing the boundaries of the firm has first order consequences for the organization and composition of the labour force, also for that of the acquirer.

How to attend this seminar

This seminar will take place on Wednesday 15 November at 2pm.

We welcome you to join in CTC.3.05 (Colchester campus).

This seminar free to attend with no ned to register in advance.

Speaker bio

Professor Ernst Maug

Ernst Maug has been professor for Corporate Finance at the University of Mannheim Business School since February 2006. He served the school as Associate Dean for Research and director of the business school’s doctoral programs. He is president-elect of the European Finance Association. Before, he taught at the Department of Business and Economics at Humboldt University (Berlin, 2000 to 2006), the Fuqua School of Business (Duke University, 1996 to 2000), and the London Business School (1993 to 1996). Professor Maug was visiting professor at the University of New South Wales and Duke University, and the London School of Economics, from where he obtained his Ph.D. in 1993.Professor Maug’s main research interest is in corporate finance with a particular emphasis on corporate governance. Recent work focuses on the interface between financial markets and labor markets. His prior research analyzes executive compensation contracts, the role of blockholders, the corporate boards, and shareholder voting. His research was published in the American Economic Review, the Journal of Finance, the Journal of Financial Economics, the Review of Financial Studies, and other journals and has won several prizes.