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Purpose Building on the resource-based view (RBV) and the theory of other orientation, this study aims to examine the association between Islamic work ethics (IWEs) and organizational performance highlighting the role of employee relations climate as an underlying mechanism. Design/methodology/approach Data were collected from 239 employees working in diverse sectors in the state of Qatar. Structural equation modeling of partial least squares was used to analyze the data of the study. Findings The results suggest that IWEs positively impact organizational performance and employee relations climate. Furthermore, employee relations climate demonstrated to play a mediating role in the IWEs-organizational performance link. Practical implications The study can be used by administrators pertaining to the importance of IWE and employee relations climate to cultivate higher organizational outcomes such as organizational performance. Originality/value This research is distinctive as it examines the connection between IWEs and organizational performance in Qatar, a country where the influence of Islamic values and beliefs on work ethics is profound. In addition, the research sheds light on a topic that has received little attention in the literature: the significance of the workplace climate in determining how IWEs affect organizational performance. Finally, the research integrates two important theoretical frameworks, the RBV and the theory of other orientation, to create a comprehensive model that explains the complex relationship between IWEs, employee relations climate and organizational performance.