The Impact of Commitment to Implementing the Governance on Disclosure of Social Responsibility of the Companies Listed on Palestine Exchange

Abstract

This study aimed to demonstrate the impact of commitment to implementing corporate governance represented by the principles :(Ensuring the basis of an effective corporate governance framework, the protection of shareholders and investors, the equitable treatment of shareholders, the role of stakeholders in corporate governance, disclosure and transparency, the responsibilities of the board) on disclosure of social responsibility of the companies listed on the Palestine Exchange. To achieve the study objectives, the researcher designed a questionnaire, and it was distributed to the study population of (49) companies, and the elements of social responsibility were measured by using content analysis through creating an index to measure the level of disclosure of social responsibility in the annual reports to the year 2019 of companies listed on Palestine Exchange. The results showed that the highest percentage of total disclosure of the elements of social responsibility was in the bank sector, and the lowest was in the industrial and investment sectors, and there was a positive impact of some principles of governance represented (Ensuring the basis of an effective corporate governance framework, the role of stakeholders in corporate governance, disclosure and transparency, the responsibilities of the board) on disclosure of social responsibility of the companies. The researcher has offered many recommendations, the most important ones are: enhancing the interest of corporate administrations, especially the industry and investment sectors, with social responsibility and its disclosure, and the necessity of activating the laws governing which oblige companies to apply the principles of corporate governance according to high measurements, and directing companies to disclose social responsibility through the formulation of legal frameworks for social responsibility.

Keywords: Governance, Disclosure of social responsibility, Companies listed on Palestine Exchange.