Corruption devours profts, people, and the planet. Ethical leaders promote ethical behaviors. We develop a frst-stage moderated mediation theoretical model, explore the intricate relationships between ethical leadership (member rated, Time 1) and employee ethical behaviors (leader rated, Time 3), and treat ethical climate and organizational justice (member rated,Time 2) as dual mediators and leaders’ moral attentiveness (leader rated, Time 3) as a moderator. We investigate leadership from two perspectives—leaders’ self-evaluation of moral attentiveness and members’ perceptions of ethical leadership. We theorize: (...) These dual mediation mechanisms are more robust for high moral leaders than low moral leaders. Our three-wave data collected from multiple sources, 236 members and 98 immediate supervisors in the Republic of Iraq, support our theory. Specifcally, ethical leadership robustly impacts organizational justice’s intensity and magnitude, leading to high employee ethical behaviors when leaders’ moral attentiveness is high than low. However, ethical leadership only infuences the ethical climate’s intensity but has no impact on the magnitude when leaders’ moral attentiveness is high than low. Therefore, organizational justice is a more robust mediator than the ethical climate in the omnibus context of leader moral attentiveness. Our fndings support Western theory and constructs, demonstrating a new theory for Muslims in Arabic’s emerging markets. Individual decision-makers (subordinates) apply their values (ethical leadership) as a lens to frame their concerns in the immediate (organizational justice and ethical climate) and omnibus (leader moral attentiveness) contexts to maximize their expected utility and ultimate serenity-happiness. Ethical leadership trickles down to employee ethical behaviors, providing practical implications for improving the ethical environment, corporate social responsibility, leader-member exchange (LMX), business ethics, and economic potentials in the global competitive markets. (shrink)

Purpose – Although there have been several studies on corporate justice and employee ethical behavior, little is known about the conditions in which this link develops. The purpose of this study is to investigate the direct effect of organizational justice and moral attentiveness toward employee ethical behavior. Importantly, this study also considers the moderating role of moral attentiveness on the links between organizational justice and employee ethical behavior. -/- Design/methodology/approach – The data was collected from 350 employees who were assessed (...) directly to supervisors in 12 manufacturing companies placed in Malaysia, operated full-time, and had regular interaction with their direct supervisors. In particular, using two-wave survey data obtained from 270 employees working in the manufacturing industry in Malaysia. -/- Findings – Results showed that organizational justice and moral attentiveness positively impact the employee ethical behavior as predicted. New to the literature, findings disclose that moral attentiveness strengthens this relationship. Importantly, the positive impact of organizational justice is sharply positive under high than low moral attentive employees and ceases to be significant among low morally attentive personnel. -/- Research limitations/implications – This research focused on the notion of ethics and how important it is for society. The principles, norms and ideals that guide an individual’s behavior are referred to as ethics. Because the authors need to be treated with dignity as human beings, ethical behavior is essential in society. -/- Practical implications – The findings of this study send a clear signal to managers that “failing to ensure that their employees perceive organizational justice” may undermine every effort made by them to improve their organizations’ ethical quality. Importantly, the findings emphasize the role of moral attentiveness in improving the ethical behavior of employees both directly and by strengthening the effectiveness of organizational justice to impact such a behavior positively. So, given the advantages of moral attentiveness in terms of improving employee ethical conduct, businesses should make every effort to hire and choose people who meet this requirement because it is not easy to spot this personality trait. Human resource managers may assess candidates’ moral attentiveness using a range of methods such as group debate, an in-basket exercise, organized interviews and business games that concentrate on specific ethical concerns. -/- Social implications – This research focused on the notion of ethics and how important it is for society. The principles, norms and ideals that guide an individual’s behavior are referred to as ethics. Because the authors need to be treated with dignity as human beings, ethical behavior is essential in society. (shrink)

Ethical leaders can influence followers’ ethical behaviors by establishing an ethical climate. However, followers’ responses to an ethical climate may also differ according to the amount of attention they devote to moral questions. This study analyzes whether moral attentiveness augments the positive effect of an ethical climate on employees’ ethical behaviors, as well as the indirect effect of ethical leadership on employee ethical behavior through an ethical climate. Data from 270 employees in the Malaysian manufacturing industry indicate that the positive (...) impact of an ethical climate on ethical behavior is greater among employees who exhibit high rather than low moral attentiveness; this moderating role also applies to the relationship between ethical leadership and employee ethical behavior through the ethical climate. This study thus sheds new light on the notable role of moral attentiveness in ensuring that ethical leadership and ethical climate enhance ethical behavior in the workplace. (shrink)

Most of the previous literature has focused on the positive effects of ethical leadership on organizations and employees, but some studies have unexpectedly found that ethical leadership is negatively related to employees' well-being at work. Based on the theory of workplace anxiety, this research explored whether ethical leadership can reduce employees' well-being at work by causing them to feel anxious about organizational citizenship behavior and whether organizational concern motivation moderates this mechanism. We collected 227 three-stage time-crossed data samples from 12 (...) institutions in Hainan China, then tested our research hypotheses to confirm that ethical leadership has a negative impact on employees' well-being at work under certain conditions. We found that: (1) ethical leadership is significantly and positively correlated with the organizational citizenship anxiety perceived by employees, (2) organizational citizenship anxiety perceived by employees plays a completely mediating role between ethical leadership and employee well-being at work, and (3) organizational concern motivation not only negatively moderates the negative correlation between employees’ organizational citizenship anxiety and well-being at work, but also further moderates the indirect negative effect of ethical leadership on employee well-being at work through organizational citizenship anxiety. (shrink)

Despite the proliferation of research on ethical leadership, there remains a limited understanding of how specifically the assumingly moral component of this leadership style affects employee behavior. Taking an identity perspective, we integrate the ethical leadership literature with research on the dynamics of the moral self-concept to posit that ethical leadership will foster a sense of moral identity among employees, which then inspires followers to adopt more ethical actions, such as increased organization citizenship behavior. We further argue that these identity (...) effects should be more pronounced when leaders are perceived to be group prototypical, as their actions then speak louder to followers’ sense of identity. Two studies—a scenario experiment with 138 participants and a field study with 225 employees—provided support for our hypothesized moderated mediation model. Perceived ethical leadership positively affected OCB via followers’ moral identity but only under conditions of high perceived leader group prototypicality. We discuss how the identity pathway of ethical leadership can facilitate novel theorizing about moral transference. Our findings also suggest that, when hiring external ethical leaders or training internal managers, practitioners are well advised to consider that these individuals may only be effective in morally transforming followers when they are perceived as prototypical for the group. (shrink)

Despite urgent calls for more research on the integration of business ethics and the meaning of work, to date, there have been few corresponding efforts, and we know surprisingly little about this relationship. In this study, we address this issue by examining when and for whom ethical leadership is more effective in promoting a sense of work meaningfulness among employees, and their subsequent work attitudes. Drawing on the contingency theories of leadership and work meaningfulness literature, we speculate that both employees’ (...) core self-evaluation and perceived organizational support moderate the relationship, but in different ways, and these associations carry over to employees’ subsequent work attitudes in terms of job satisfaction, organizational commitment and turnover intention. We test our hypotheses with two-wave survey data collected from 377 employees. Results indicate that ethical leadership is effective in eliciting work meaningfulness and attitudes for employees higher in CSE or when POS is lower, and ineffective for those lower in CSE or when POS is higher. A supplementary analysis reveals a three-way interaction between ethical leadership, CSE and POS in predicting a sense of work meaningfulness and subsequent work attitudes. Our research cautions that ethical leadership is not a universally positive practice; it can be ineffective or even have a negative impact under some circumstances. (shrink)

This study investigated the impact of supervisors’ servant leadership on supervisees’ moral identity and subsequent in-role performance. Data from 226 supervisor–supervisee dyads were collected from several domestic and multinational companies operating in the Kingdom of Saudi Arabia. Confirmatory factor analysis was conducted to confirm the factorial validity of the measures that were employed in this study. The hypothesized moderated mediation model was tested using hierarchical multiple regression analysis. Based on social learning theory, the results showed that supervisees’ moral identity served (...) as the psychological mediating mechanism through which supervisors’ servant leadership led to supervisees’ increased in-role performance. Furthermore, the results also supported supervisees’ avoidance orientation as the dispositional boundary condition of this mediating effect. This study contributes to both the servant leadership and moral identity literatures by addressing questions with useful theoretical and managerial implications. (shrink)

We studied the impact of teachers’ ethical leadership on students’ moral identity and academic citizenship behaviors. Data from 256 student–teacher matching dyads were collected from one of the top 5 Pakistani business schools. Confirmatory factor analysis was used to ensure factorial validity of the measures that were employed, and the hypothesized relationships were tested using structural regression models that utilized structural equation modeling in AMOS with 5,000 bootstrap samples. Based on social learning theory, the results supported the hypothesis that teachers’ (...) ethical leadership had significant direct and indirect positive effects on the students’ academic citizenship behaviors that were directed toward other students and the school. This study contributes to existing literature on ethical leadership and organizational citizenship behavior by highlighting useful implications of these organization-based constructs in an academic context. (shrink)

The importance of value-based leadership such as authentic, ethical, and servant leadership is inconspicuous. However, the benefits of these leadership approaches are often only explained through the behaviors of their followers. As such, limited research has communicated the leader’s motivation for pursuing such leadership behavior, resulting in such discourse to escape theorizing. We draw upon role theory and paid attention to the role of higher-level management (leadership) through the trickle-down model to underline their importance in the organization. We then expand (...) this role theory framework by synthesizing research to explain the emergence of value-based leadership behavior at the frontline of management. In doing so, we aim to provide a stronger explanation of the emergence of value-based leadership in organizations. We conclude this analysis by guiding future research in the form of propositions to investigate the psychological process and organizational factors to empirically examine the proposed role framework. (shrink)

Evidence from a growing number of studies suggests leader character as a means to advance leadership knowledge and practice. Based on this evidence, we propose a process model depicting how leader character manifests in ethical leadership that has positive psychological and performance outcomes for leaders, along with the moderating effect of leaders’ self-control on the character strength–ethical leadership–outcomes relationships. We tested this model using multisource data from 218 U.S. Air Force officers and their subordinates and superiors. Findings provide initial support (...) for leader character as a mechanism triggering positive outcomes such that only when officers reported a high level of self-control did their honesty/humility, empathy, and moral courage manifest in ethical leadership, associated with higher levels of psychological flourishing and in-role performance. We discuss the implications of these results for future theory development, research, and practice. (shrink)

Corruption devours profits, people, and the planet. Ethical leaders promote ethical behaviors. We develop a first-stage moderated mediation theoretical model, explore the intricate relationships between ethical leadership and employee ethical behaviors, and treat ethical climate and organizational justice as dual mediators and leaders’ moral attentiveness as a moderator. We investigate leadership from two perspectives—leaders’ self-evaluation of moral attentiveness and members’ perceptions of ethical leadership. We theorize: These dual mediation mechanisms are more robust for high moral leaders than low moral leaders. (...) Our three-wave data collected from multiple sources, 236 members and 98 immediate supervisors in the Republic of Iraq, support our theory. Specifically, ethical leadership robustly impacts organizational justice’s intensity and magnitude, leading to high employee ethical behaviors when leaders’ moral attentiveness is high than low. However, ethical leadership only influences the ethical climate’s intensity but has no impact on the magnitude when leaders’ moral attentiveness is high than low. Therefore, organizational justice is a more robust mediator than the ethical climate in the omnibus context of leader moral attentiveness. Our findings support Western theory and constructs, demonstrating a new theory for Muslims in Arabic’s emerging markets. Individual decision-makers apply their values as a lens to frame their concerns in the immediate and omnibus contexts to maximize their expected utility and ultimate serenity-happiness. Ethical leadership trickles down to employee ethical behaviors, providing practical implications for improving the ethical environment, corporate social responsibility, leader-member exchange, business ethics, and economic potentials in the global competitive markets. (shrink)

Over the last decade, scholars across the wide spectrum of the discipline of sociology have started to reengage with questions on morality and moral phenomena. The continued wave of research in this field, which has come to be known as the new sociology of morality, is a lively research program that has several common grounds with scholarship in the field of business ethics. The aim of this thematic symposium is to open constructive dialogues between these two areas of study. In (...) this introductory essay, we briefly present the project of the new sociology of morality and discuss its relevance for business ethics. We also review the contributions to this thematic symposium and identify four specific domains where future research can contribute to fruitful dialogues between the two fields. (shrink)

This qualitative study explores how business leaders narrate their personal ways of recognizing, reasoning, and resolving moral conflicts and what these stories reveal about their moral identity processes within organizational contexts. Based on interviews with 25 business leaders, 4 moral identity statuses were identified: achievement, moratorium, foreclosure, and diffusion. The moral identity statuses were based on how leaders approached and interpreted moral conflicts and what the influence of the organizational context was in their moral decision-making processes. Some remained steadfast in (...) adhering to their previous value commitments, while others tried to avoid taking any clear moral standpoint. Still others experienced moral conflicts as disequilibrating events that triggered reflective processes and developmental cycles of moral identity change. These moral identity statuses hold implications for facilitating moral identity development among business leaders in the context of work. (shrink)

Implicit morality theories refer to people’s beliefs about whether individuals’ moral character is fixed or malleable. Drawing on the social cognitive theory of morality, we examine the relationship between employees’ implicit morality theories and their organizational citizenship behaviors toward coworkers (OCBC) and coworker-directed deviance (CDD) through a moral self-regulatory mechanism. A laboratory experiment (Study 1), an online experiment (Study 2), and a multi-wave, multi-source field survey (Study 3) found that the more employees held a fixed belief about morality, the lower (...) their sense of moral control, especially when their moral identity was lower. This perceived lack of moral control, in turn, predicted decreased OCBC, particularly when the workgroup ethical climate was weak. However, this relationship did not hold for CDD. Overall, our research highlights implicit morality theories as a novel antecedent of employees’ workplace behaviors, and identifies the underlying moral self-regulatory process, along with individual and situational boundary conditions. (shrink)

Business Ethics: A European Review, EarlyView.

Recent literature suggests that ethical leadership helps to inhibit followers’ unethical behavior, largely built on the premise that followers view ethical leaders as ethical role models and socially learn from them, thereby engaging in more ethical conduct. This premise, however, has not been adequately tested, leaving insufficient understanding concerning the conditions under which this social learning process occurs. In this study, we revisit this premise, theorizing that not all followers will equally regard the same ethical leader as being a personal (...) ethical role model, thereby bounding the leader’s effects in reducing followers’ unethical behavior. We integrate the role of follower self-concepts into social learning theory, hypothesizing that the extent followers emulate their ethical leaders is contingent on how they identify with ethics as well as the particular leader. We test our hypotheses with three-wave survey data collected from 214 employees, finding that ethical leaders are viewed as being role models only amongst followers higher in moral identity and leader identification, and that followers’ perceptions that the leader is an ethical role model mediated the effect of ethical leadership on followers’ unethical behavior. Interestingly, results for the full-model tests show that ethical leadership evokes unethical behavior amongst followers lower in both moral identity and leader identification. These results suggest that ethical leadership is not a universally useful practice to decrease unethical behavior and that a more nuanced understanding of its contingent effects needs to be better understood. (shrink)

Studies have shown that internal whistleblowing could be utilized as an effective way to stop an organization’s unethical behaviors. This study investigates the relationship between ethical leadership and internal whistleblowing by focusing on the mediating role of employee-perceived organizational politics and the moderating role of moral courage. An analysis of data collected at three phases indicates that employee-perceived organizational politics partly mediates the relationship between ethical leadership and internal whistleblowing. Also, moral courage is found to moderate the effect of employee-perceived (...) organizational politics on internal whistleblowing and the indirect effect of ethical leadership on internal whistleblowing via employee-perceived organizational politics. Theoretical and practical implications of these results are discussed. (shrink)

This study examines why individuals who are deeply embedded in the organization may engage in unethical pro-organizational behavior (UPB). Drawing from social identity theory and self-affirmation theory, we propose that deeply embedded employees may engage in UPB as a way of promoting or maintaining their status in the organization. We further propose that this positive relationship between organizational embeddedness and UPB, mediated through status perceptions, is stronger for employees working under managers who display low levels of ethical leadership. Using data (...) gathered in a two-wave survey from 224 working adults, the results of the study lend support for the hypothesized relationships and remained significant even after controlling for affective commitment. The study advances our understanding of both contextual and individual factors motivating employees to engage in UPB and the boundary conditions under which UPB can be reduced. (shrink)

While previous research has established that employees who have a more conscientious leader are more likely to perceive that their leader is ethical, the underlying mechanisms and boundary conditions of this linkage remain unknown. In order to better understand the relationship between leader conscientiousness and ethical leadership, we examine the potential mediating role of leader moral reflectiveness, as well as the potential moderating role of decision-making autonomy. Drawing from social cognitive theory, results from two samples of workgroup leaders and their (...) immediate reports situated in Africa and Asia show that leader conscientiousness is positively related to leader moral reflectiveness, which in turn, is positively associated with employees’ assessment of ethical leadership. Furthermore, and consistent with our hypothesis, results from the two samples show that leader decision-making autonomy moderates the indirect path from leader conscientiousness to ethical leadership through moral reflectiveness, such that only morally reflective leaders who have high decision-making autonomy at work engage in ethical leadership behaviors. In our discussion, we highlight the theoretical and practical implications of our findings and suggest ways in which organizations can better foster ethical leadership. (shrink)

ABSTRACT Leaders have been thought to play a vital role in influencing employees’ unethical behavior. However, what happens to leaders and followers in the aftermath of unethical conduct has received little attention in the literature. Drawing from the correspondent inference theory, we examine the conditions under which leaders attribute their followers’ unethical behavior to poor moral character and eventually assign them low performance ratings. Through a two-wave research design and data from 290 matched employee–leader dyads, we found that a leader (...) is more likely to infer that a follower who has engaged in unethical behavior is of poor moral character when the leader has a higher moral identity, and the leader will impose lower performance ratings on this follower when the leader prefers lower moral decoupling. (shrink)

Constructive deviance, rule-breaking to benefit the organization, is an emerging topic in the scholarly research and is considered to be an ethical decision. Despite the value of guiding constructive deviance in organizations, the effect of ethics-oriented leadership on employees’ constructive deviance remains unclear. This research identifies leader moral humility as a new antecedent of constructive deviance and examines how and when leader moral humility influences employee constructive deviance. Drawing on social–cognitive theory, we propose that leader moral humility fosters employee moral (...) identity, which in turn triggers employees to exhibit constructive deviance. Moreover, the mediating effect of moral identity is more pronounced when normative conflict with organizational rules is high, as this conflict inspires identity-driven behavior. Two studies with scenario-based experimental and time-lagged field methods provided general support for our hypotheses. Study 1 reveals that leader moral humility positively affects constructive deviance via employee moral identity. Study 2 replicates and extends Study 1 to support the moderating role of normative conflict. These findings enrich the understanding of constructive deviance by shedding light on the moral cognitive process in the relationship between leader moral humility and employee constructive deviance and by identifying the boundary condition for the relationship. (shrink)

The aim of this article is to undertake a systematic literature review (SLR) of empirical research that uses multi‐source methods for collecting data about Ethical Leadership (EL). Research on this sensitive subject benefits from the inclusion of data from more than one source, in order to be better supported, and thus contribute to a deeper understanding of leadership and business ethics issues. The search strategy retrieved a total of 50 multi‐source empirical studies on the topic of EL, published until December (...) 2017. This SLR shows that (a) research on EL has focused mostly on the perceptions of followers, possibly because they are the most accessible target of its outcomes, thus restricting the scope of this body of research; (b) EL is studied mainly through consideration of its consequences, a restriction that hinders explanation of the causal processes involved in ethical leadership, which remains a research arena in need of development. The systematic inclusion of other stakeholders in multi‐source methods is advanced as a way to further develop the field. (shrink)