The Combined Effect of Ethical Leadership, Moral Identity, and Organizational Identification on Workplace Behavior

Abstract

Ethical leadership encompasses the personal conduct of leaders and leaders’ expectations that followers behave ethically. The two studies presented here draw on moral identity and social identity theories to investigate whether moral identity and organizational identification had an indirect effect on the relation between ethical leadership and organizational outcomes. Study 1 examined how ethical leadership and moral identity interact to influence self‐reported ethical behavior using a sample of 3,363 defense personnel. Study 2 examined the mediating role of organizational identification in the relation between ethical leadership and organizational outcomes, such as morale, job satisfaction, and career intentions using a sample of 3,390 military personnel. Consistent with moral identity research, personnel who reported stronger moral identity and who perceived their leaders as higher in ethical leadership were less likely to engage in unethical behavior. Consistent with organizational identification research, higher levels of perceived ethical leadership led to greater organizational identification, which then predicted organizational outcomes (i.e., morale, job satisfaction, and turnover intentions). The findings show the importance of ethical leadership and identity for organizational outcomes.