ESG Performance of Listed Companies and Labor Cost Stickiness

In the context of sustainable development and the “dual carbon” goals, the impact of corporate ESG performance on cost behavior has attracted increasing attention. This study employs a sample of Chinese A-share listed companies from 2010 to 2024 to examine the impact of ESG performance on labor cost stickiness. The findings show that overall ESG performance has no significant direct impact on labor cost stickiness. However, dimension-specific analyses indicate that the social responsibility (S) dimension significantly suppresses cost stickiness, while the environmental (E) and governance (G) dimensions have no significant effect. Further analysis reveals that the moderating effects of ownership type and regional development levels on ESG are heterogeneous, and ESG practices in state-owned enterprises and enterprises in the central and western regions of China have not effectively reduced labor cost stickiness. The findings suggest that the current structural limitations of ESG ratings and differences in institutional environments are key factors affecting the cost management effectiveness of ESG practices.