Explanatory Factors of Social Responsibility Disclosure on Portuguese Municipalities' Websites

Purpose Municipalities can play a key role in supporting the development of green growth, by linking environmental, social and economics goals, in a sustainability strategy at the local level. At the same time, sustainability reporting allows for a deeper understanding of the local green policies. The aim of this paper is to analyse the disclosure of social responsibility (SR) information by Portuguese municipalities and to identify their determining factors. Design/ Methodology/ Approach A content analysis was performed on webpages from 60 sampled municipalities, and an information disclosure index was created (based on generic, economic, social and environmental information). For each information category, a disclosure sub-index was also developed. To analyse the relationship between the developed information disclosure indices and potential determinant factors, several tests were conducted using previously formulated hypothesis, via univariate and bivariate analyses. Findings Descriptive statistics indicate average levels of SR disclosure. The Total Disclosure Index (TDI) value was 0.46. The Economic Information sub-category exhibits the highest value (0.66), followed by the Social and Environmental information categories (0.61 and 0.36, respectively). Univariate and bivariate analyses show that certain variables can explain degrees of information disclosure. The Size (SIZE2) (measured by the number of inhabitants), Education Level (EDUC) and Tax Burden (TAX) variables positively influenced all indices, while the Unemployment Rate (UNEMP) variable does not influence the indices. Political Competition (POLCOM) only influenced EnDI, and the remaining variables influenced at least four of the five indices studied. Originality/Value This study adds to the international research on SR in public sector by providing empirical data from a country, Portugal, where empirical evidence is still relatively limited.