Employee disputes and innovation performance: evidence from the pharmaceutical industry

What is it about?

This study explores how legal disputes with employees can impact a company's ability to create new products, specifically in the pharmaceutical industry. By analyzing over 2,293 cases from 2000 to 2015, it was discovered that companies facing frequent lawsuits from employees tend to have fewer new drugs approved by the Food and Drug Administration (FDA). The research suggests that the way employees are treated can significantly affect a company's innovative success.

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