Navigating change in the era of COVID-19: The role of top leaders’ charismatic rhetoric and employees’ organizational identification

Abstract

The Novel Coronavirus (COVID-19) pandemic has had tremendous and swift effects on organizational change. This study examined how organizations can leverage leadership and employee resources to facilitate positive change outcomes. Drawing from the self-concept based motivational theory of charismatic leadership and substitutes for leadership theory, the current study proposed a theoretical model connecting top leaders’ charismatic rhetoric, employees’ affective commitment to change, and employees’ turnover intention. Furthermore, the study investigated contingencies that may modify the relationship between leadership communication and followers’ outcomes. Results from an online panel of 417 U.S. employees showed that top leaders’ use of charismatic rhetoric during change led to followers’ affective commitment to change, which decreased their turnover intention. Furthermore, employees’ organizational identification moderated this relationship. When employees have low identification with their organizations, top leaders’ charismatic rhetoric to address the immediate change is more needed.