Examining the link between responsible leadership and employee sustainable performance: the mediating role of ethical climate

Abstract

Purpose

This study investigates the relationship between responsible leadership (RL) and employee sustainable performance (ESP), utilizing the CSR theory as a theoretical framework. Furthermore, this study aims to examine the role of ethical climate as a potential mediator in the relationship between RL and ESP.

Design/methodology/approach

A sample of 415 employees from the healthcare sector of India was collected through a questionnaire-based survey by using the convenience sampling technique. The data were analyzed using partial least squares structural equation modeling (PLS-SEM) with the help of SmartPLS 4.

Findings

The study's findings demonstrated a significant, positive association between RL and ESP [employee well-being (EWB) and employee performance (EP)]. Additionally, the findings show that ethical climate partially mediates the link between RL and ESP (EWB and EP).

Research limitations/implications

The generalizability of the study's data collection is limited because it is based on the responses of Indian healthcare sector employees to an online and offline survey. The authors propose that the healthcare industry implement an intensive leadership training program in light of the findings of this study, which will aid human resource (HR) managers in comprehending the significance of RL and fostering related behaviors, such as encouraging employees to maintain ethical behavior and positive attitudes.

Originality/value

To the authors' understanding, this study is among the earliest attempts to present an integrative model that examines the relationship between RL, ethical climate and ESP in the context of Indian healthcare employees, incorporating the theory of corporate social responsibility (CSR). Moreover, the novelty of this research study examines the relationship between RL and ESP, with an ethical climate serving as a mediator. The focus is specifically on employees working in the Indian healthcare sector.

Citation

Khanam, Z., Tarab, S. and Khan, Z. (2023), "Examining the link between responsible leadership and employee sustainable performance: the mediating role of ethical climate", Journal of Economic and Administrative Sciences, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JEAS-05-2023-0139