Abstract
Considerable research has demonstrated that ethical leadership is beneficial for team innovation. We offer an integrated view by identifying a potential dark side of ethical leadership and suggesting that ethical leadership can be a mixed blessing on team innovation. On the one hand, as team members perceive safeness to work with ethical leaders, they have a high level of psychological safety, which enhances team innovation. On the other hand, as team members are confined in the norms and constraints set by ethical leaders, ethical leadership is positively associated with norm conformity, which decreases their team innovation. The meta-analysis results of 25 studies provide support for our hypotheses. Results of meta-analytic structural equation modeling show that ethical leadership has a positive indirect effect on team innovation through enhancing psychological safety. In contrast, ethical leadership has a negative indirect effect on team innovation through enhancing norm conformity. Taken together, our findings reveal the benefits and perils of ethical leadership and the importance of examining its impacts on team innovation.
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