Can ethical leaders drive employees’ CSR engagement?

Abstract

Purpose The association between ethical leadership and employees’ ethical behaviors is well-established. But can ethical leadership go beyond this and drive employees’ corporate social responsibility (CSR) engagement? The purpose of this study is to examine the association between ethical leadership and employees’ perception of their engagement in CSR activities while exploring the mediating role of person–organization fit. Design/methodology/approach Using a quantitative research design, data were collected via self-administered questionnaires from 142 employees of multi-national companies in Malaysia. This study used partial-least squares structural equation modeling to test and validate the research model and hypotheses posited. Findings The results reveal that ethical leadership has a positive impact on employees’ CSR engagement, mediated through person–organization fit. Moreover, analyses were carried out to assess the predictive performance of the proposed model. Our results confirmed the predictive capability of the proposed model. Research limitations/implications This study has provided a better understanding of employees’ CSR engagement, which is a crucial factor for effectiveness of CSR implementation in any organization. Finding evidence on the positive role of ethical leadership in driving employees’ CSR engagement extends both the leadership and CSR literature and offers new avenues for future research studies. Practical implications This study has shown that ethical leadership can stimulate employees’ CSR engagement through creating a better person–organization fit. This understanding can help managers in finding ways for more effective involvement of employees in a company’s CSR activities and creating a better working environment. Social implications Organizations can find better ways to involve employees in CSR activities through having ethical leaders who lead by example and champion social causes. Although ethical leadership will benefit society, it will also help employees experience a better fit between their values and those of the organization. Originality/value Despite extensive research on CSR, its drivers and outcomes, there is still limited knowledge on the role of leaders in driving employees’ CSR engagement. Findings from an emerging economy (i.e. Malaysia) will offer fresh insights into the growing CSR and leadership literature.

Ethical leadership, corporate social responsibility, firm reputation, and firm performance: A serial mediation model

“…Ethical leadership is believed to have a strong sense of CSR awareness and willingness to implement CSR; therefore, it results in high-quality CSR management and initiatives. In some contexts, the results responded to and consolidated the significance of ethical leadership in CSR implementation and employees’ CSR engagement, which is similar to previous studies (e.g., Angus-Leppan et al., 2010 ; Freeman, 1988 ; Knippenberg and de Jong, 2010 ; Levine and Boaks, 2014 ; Nejati et al., 2020 ). Our study results support Choi et al.…”

The Interplay between Corporate Social Responsibility at Employee Level, Ethical Leadership, Quality of Work Life and Employee Pro-Environmental Behavior: The Case of Healthcare Organizations

“…Selecting the right leadership model in an enterprise can increase employee's involvement in CSR-related tasks [56]. Although leadership is one of the most studied areas in business and management, it is still assumed as an impenetrable area in the literature of organizational management [75,76].…”

“…To this end, the current study argues that the ethical behavior of a leader helps shape employee pro-environmental behavior. Because, through the process of role-modeling, when employees see their leader is involved in ethical conduct, they also learn this behavior on their part, and hence they are expected to demonstrate eco-friendly behavior at the workplace [ 56 ]. Likewise, the theory of norm reciprocity states that individuals are expected to reciprocate positively for a benefit received from others.…”

“…Several other scholars have expanded on this argument, suggesting that the social responsibility of an organization should be based on the organizational culture, which is deep-rooted in organizational ethics and norms [ 72 , 73 , 74 ]. Selecting the right leadership model in an enterprise can increase employee’s involvement in CSR-related tasks [ 56 ]. Although leadership is one of the most studied areas in business and management, it is still assumed as an impenetrable area in the literature of organizational management [ 75 , 76 ].…”

Independent Variables Affecting Employee Behaviour in Socially Responsible Organisations: Working Environment in Lithuania and Poland

“…Although the concept of CSR provides for high standards of moral conduct, Rose (2007) concluded that additional ethics training had not significantly influenced the decisions of leaders of many organisations. That is not good, given that ethical leadership can stimulate employees' CSR engagement through creating a better employee-organisation fit (Nejati et al, 2019). Therefore, formalised ethical norms are needed (Petrescu & Manghiuc, 2020).…”