PurposeThis study refines theory of social capital by nesting it within a cultural context. More specifically, it aims at describing, explaining, and predicting the role of wasta, a social capital concept, as a moderator in the relationship between employees' ethical idealism and work engagement in Lebanon.Design/methodology/approachBased on a survey questionnaire translated from English into Arabic, 317 responses were collected from employees in Lebanon. Confirmatory factor analysis and hierarchical regression analysis were employed to test the hypothesized relationships among the examined variables.FindingsEthical idealism was found to be positively related to work engagement, and wasta was found to moderate the relationship between ethical idealism and work engagement. Work engagement levels of employees who displayed high levels of ethical idealism were less influenced by the negative effect of wasta than work engagement levels of employees who displayed low levels of ethical idealism.Practical implicationsHuman resource managers, international negotiators, and global executives in Lebanon may use the findings of this study to update corporate human resources systems, such as employee recruitment and selection, handbooks, orientation, training programs, and performance appraisal, to better address employee attitudes toward the practice of wasta.Originality/valueThe study adds ethical idealism as an antecedent of work engagement, demonstrating the significant impact that wasta, with its positive and negative characteristics, has on the engagement of employees from the Arab world.