Abstract
The aim of this study was to examine the roles of self-efficacy and organizational commitment in the sequential mediation of the relationship between ethical leadership and employee engagement. Data were collected through self-reported questionnaires of employees from private and public sector organizations of Pakistan. We opted for a three-wave time-lagged design, and we used the PROCESS macro by Hayes on a sample of 211 employees (35% male, 65% female) via the 2000 re-sample bias-corrected bootstrap method. The results show a significant relationship between ethical leadership and employee engagement with mediating effects of self-efficacy and organizational commitment. Self-efficacy and organizational commitment fully mediated the relationship. The results provide insight into the understanding of employee behavior, particularly in the presence of moral leadership. Drawing on the conservation of resource theory, we examined how ethical leader support enables employees to invest their resources into positive outcomes. Theoretical and practical implications are discussed.
Highlights
IntroductionWhile transmitting the ethical values of the institution [1], ethical leadership cultivates employee commitment to the organization [2]
The total direct effect without mediators was statistically insignificant; the study results revealed that self-efficacy and organizational commitment fully mediate the relationship between ethical leadership and employee engagement
We demonstrated that ethical leadership influences employees’ engagement when self-efficacy and organizational commitment sequentially mediate the relationship
Summary
While transmitting the ethical values of the institution [1], ethical leadership cultivates employee commitment to the organization [2]. On this topic, empirical research is at a relatively emerging stage [3]. Ethical leadership is defined as “the demonstration of normatively appropriate conduct through personal actions and interpersonal relationships, and the promotion of such conduct to followers through two-way communication, reinforcement, and decision making” [4], p. The clarity that ethical leaders maintain in their expectations, communication, and responsibilities is reciprocated with a more committed and engaged workforce within the organization [5]. A growing number of studies have supported the significance of ethical leadership and its positive effects on the behavioral outcomes of followers [6,7,8]
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