Abstract

In this study, we use a social exchange perspective to examine when [i.e., high- vs. low-quality leader–member exchange (LMX)], why (i.e., positive vs. negative reciprocity), and how (i.e., pro-leader vs. pro-self unethical behavior) followers consider unethical behavior that either benefits the leader or the self. Across an experimental and a time-split survey study, we find that high-quality LMX relationships motivate pro-leader unethical intention as a means to satisfy positive reciprocity motives, and that low-quality LMX relationships motivate pro-self unethical intention as a means to satisfy negative reciprocity motives. Importantly, our studies demonstrate that it is crucial to incorporate both positive and negative reciprocity motives when studying the effects of LMX. Implications of these results for social exchange theory, LMX, and the broader literature of (self- and other-serving) unethical behavior are discussed.

Highlights

  • Unethical behavior, despite being costly and detrimental for organizations (Giacalone and Promislo, 2010), is quite prevalent and is expected to become even more prevalent in the future (Rickman and Witt, 2007)

  • The negative effects of leader–member exchange (LMX) on self-serving unethical behavior and its positive effects on other-serving unethical behavior are assumed to be driven by the same motivational mechanism of positive reciprocity. We argue that this one-sided focus on positive reciprocity motives derived from high-quality LMX relationships foregoes the role of negative reciprocity motives sparked by low-quality LMX relationships (Uhl-Bien and Maslyn, 2003)

  • Positive Reciprocity Motives and Pro-leader Unethical Behavior We argue that pro-leader unethical behavior will be able to satisfy the positive reciprocity motive instilled by high-quality LMX relationships

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Summary

Introduction

Despite being costly and detrimental for organizations (Giacalone and Promislo, 2010), is quite prevalent and is expected to become even more prevalent in the future (Rickman and Witt, 2007). Research examining the predictors and mechanisms of unethical behavior has greatly increased in the last decades (Treviño et al, 2014). Several studies have investigated what leaders, as central gatekeepers of appropriate conduct, can do to prevent unethical behavior among their followers (Treviño and Brown, 2005; Brown and Treviño, 2006; Kalshoven et al, 2016). The quality of the leader–member exchange (LMX) relationship between leaders and followers (Dienesch and Liden, 1986; Graen and Uhl-Bien, 1995; Settoon et al, 1996) appears to play a prominent role in preventing employee unethical behavior. Under the assumption that followers aim to positively reciprocate high-quality LMX relationships, initial studies have demonstrated that LMX is negatively related to self-serving behaviors such as deviance, counterproductive work behaviors, and withdrawal (Gerstner and Day, 1997; El Akremi et al, 2010; Liu et al, 2013; Jawahar et al, 2018).

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