Abstract
This study empirically explores the extent to which leadership style of Pawang Laot (the local traditional fishing masters in Aceh Province, Indonesia) does matter for enhancing the quality of work and its impact on improving fishermen’s welfare and performance. Of 7,623 fishers in South Aceh District, Indonesia, 110 of them were selected as the respondents using a stratified random sampling technique. Using the Structural Equation Modeling (SEM) approach, the study documented that transactional leadership style of Pawang Laot has directly and significantly improved quality of fishermen work culture and performance, but it has an insignificant effect on their welfare. In addition, indirectly, the quality of work culture has an insignificant positive influence on the welfare of fishers through their performance. Finally, the quality of work culture significantly and positively mediated the effect of the leadership style on improving both the welfare and performance of fishers. These findings suggest that further to enhance the welfare and performance of the fishermen, Pawang Laot should enhance their transactional leadership style focusing on promoting the quality of fishermen’ work culture.
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