Employee Satisfaction and Corporate Innovation---An Empirical Study Based on "China's Best Employer of the Year"

Innovation is the first driving force to lead the development, which is the core competitiveness of the enterprise, and the employees of the enterprise will directly affect the innovation ability of the enterprise. This paper investigates the relationship between employee satisfaction and corporate innovation ability by combining the data related to the results of China's Best Employer of the Year, basic information of listed companies, financial data and corporate governance data. A two-way fixed-effects model regression analysis reveals that employee satisfaction is positively related to corporate innovation capability. In addition, further tests show that employee turnover rate has a mediating effect between employee satisfaction and firm innovation, and ESG score moderates the relationship between employee satisfaction and firm innovation capability. This study provides empirical evidence and theoretical support for enterprises to formulate more scientific and effective human resource management strategies and innovation-driven development strategies.