Pengaruh Faktor Finansial dan Non Finansial terhadap Pengungkapan Islamic Social Reporting

Abstract

The rapid growth of the Islamic religion has increased the desire and need of the people to work in accordance with Islamic principles which has led to the birth of companies based on Islamic values. The company itself has an obligation to fulfill social responsibility for the environment around the company. Islamic Social Reporting is another form of social responsibility based on a sharia perspective. The purpose of this study was to examine the effect of financial factors including leverage, profitability, liquidity, company size and non-financial factors, namely the size of the board of commissioners, the frequency of board meetings, independent commissioners, awards, media exposure to ISR disclosure with the object of research being companies listed in Jakarta Islamic Index (JII) for the period 2015-2019. The sample have been selected using purposive sampling method and data analysis using multiple regression analysis. The results showed that leverage, company size and the size of the Board of Commissioners partially had an influence on ISR disclosure. Meanwhile, profitability, liquidity, board of commissioners' meeting frequency, independent commissioners, awards, and media exposure had no effect on ISR disclosure. The coefficient of determination shows a number of 0.495. This explains that the independent variables in this study are able to explain the ISR disclosure of 49.5% while the remaining 50.5% consists of other factors which are not discussed in this study.