Abstract

Purpose The purpose of this study is to examine the intricate dynamics within the hospitality service sector, which predominantly employs low-wage and low-skilled workers. These employees frequently encounter challenges related to breaches in their psychological contracts. Despite their critical role in customer service, their experiences are often overlooked in organizational inclusion research. We investigate the relationship between employees’ perceptions of organizational inclusion and their assessments of organizational ethical virtues (OEVs), considering the potential moderating effect of psychological contract breach. Furthermore, it explores how these factors influence customer- and organizationdirected organizational citizenship behaviors (OCBs). Design/methodology/approach Our research design incorporates a two-stage moderated-mediation model to test our proposed hypotheses empirically. A two-source sample of 451 European hotel managers and employees extends the inquiry with the proposed model. Structural Equation Modeling (SEM) was employed to analyze the proposed relationships. Findings Findings reveal that organization inclusion is positively associated with OEV and employee-perceived OEV mediates an indirect link between organization inclusion on customer-oriented OCB. Moreover, psychological contract breach (P CB) attenuates the association between organization inclusion and OEV at the first stage and OEV, and OCB at the second stage. Originality/value The findings robustly corroborate our proposed model. The study findings culminate in a discussion accentuating the extensive implications of our findings for both research and practicality within the hospitality sector. Anchored in empirical revelations, we delineate avenues for future exploration in this pivotal domain.

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