Role of Ethical Leadership in Improving Employee Outcomes through the Work Environment, Work-Life Quality and ICT Skills: A Setting of China-Pakistan Economic Corridor

Abstract

The China–Pakistan Economic Corridor (CPEC) is a multi-billion transformative project. It is expected that the CPEC will cause a massive change in every sphere of life in Pakistan, especially in business organizations. The successful accomplishment of such a huge project depends upon the sustainable performance of the organizations associated with the project, and the sustainable performance of the organizations largely depends upon their work environment and quality of work life. As most of the organizations associated with CPEC employ a workforce from both countries, i.e., China and Pakistan, creating a work environment fit in such a cross-cultural setting is quite challenging. In this context, this study investigates the role of ethical leadership, workplace environment, quality of work-life and ICT skills (as a moderator) on job-related outcomes, such as job satisfaction, organizational commitment, and team spirit. The data were collected employing the snowball sampling technique from 609 upper and middle-level employees working in organizations connected with CPEC projects. Obtained results were subsequently analyzed using the structural equation modeling technique with the help of AMOS. The results uncover the positive association between variables as represented in the model, and further revealed that ethical leadership positively enhances the work environment dimensions: relationships, personal growth, and system maintenance and change. Furthermore, these factors are also considered vital in developing the quality of work-life, which eventually raises the employee’s job outcomes. Moreover, the study provides empirical justification for managers that ICT skill development is an important catalytic factor that enhances employee job outcomes. The study is invaluable for managers and policymakers in understanding the enablers of productivity for organizations operating in the context of the megaproject (CPEC).