Perception of CSR Activities, Organizational Trust, and Employee Outcome: Evidence from Iraq Telecom Market in Post-Pandemic COVID-19

Abstract

Purpose: This study investigates the intermediary role of organizational trust in the relationship between corporate social responsibility (CSR) and employee outcomes. Theoretical framework: Building on Carroll’s pyramid adapted to the unique context of Iraq, the study explores the dimensions of organizational trust, CSR initiatives, and tangible employee outcomes. Design/Methodology/Approach: Employing a quantitative approach, the research was conducted within four telecommunications firms in Iraq, involving 359 employees with at least one year of work experience. Data collection spanned from September 2021 to October 2022, achieving a commendable 97.55% response rate. Structural equation modeling, utilizing the partial least squares (PLS) method and a bootstrapping technique involving 5,000 resamples, assessed the statistical significance of hypotheses. Findings: The study reveals a subtle yet noteworthy positive influence of CSR on employee loyalty, job satisfaction, and turnover intention. Importantly, organizational trust emerges as a robust mediator, influencing employee outcomes positively. Research, Practical & Social implications: This research suggests extending the conceptual framework to diverse industry sectors and geographical settings. Additionally, the inclusion of alternative mediators, such as perceived organizational justice, warrants exploration in future studies. Originality/Value: In contrast to studies using Western-centric metrics for CSR, this research adopts an alternative conceptual framework tailored to the unique context of Iraq, contributing to a deeper understanding of the interplay between organizational trust, CSR initiatives, and employee outcomes.