FAKTOR-FAKTOR YANG MEMPENGARUHI PEMBERIAN KOMPENSASI KEPADA DEWAN DIREKSI DI PERUSAHAAN YANG GO PUBLIC DI INDONESIA (STUDI EMPIRIS PADA PERUSAHAAN JASA PERBANKAN)

Abstract

The study aims to determine the factors that affect the management board compensation of banking and finance in Indonesia. This study use the premises offered by Agency Theory (Jensen and Mackling, 1976).

              From the previous studies, there are few variables affecting the board compensation that are age, tenure, educational background board of directorsand committee of remuneration. In addition, researchersusing 6 control variables: board composition, management board size, company size, company leverage, company age, revenue growth. This study uses the 7 banking and financecompany for 5 years and using multivariate regression.

              The results of this study found that the 2 variabels that affect the age of the board of directors of an effect on the provision of compensation to the board of directors and board tenure affects the povision of compensation to the board of directors. In addition, 2 variables that do not affect the educational background that the board of directors does not affect povision of compensation to the board of directors and remuneration committee presence does not affect povision of compensation to the board of directors. This study contributes to the agency theory that age board of directors and tenure board of directors of corporate governance can be a mechanism to obtain the optimal results in compensation.

Key Word;  Corporate Governance, Management Board, Board Of Directors, Compensation.