Lai, Aaron Chin Chen
(2024)
The influence of ethical leadership on employee's affective commitment: mediating role of psychological empowerment.
[Dissertation (University of Nottingham only)]
Abstract
Ethical leadership has subtly emerged as a topic of intense controversy, captivating the attention of human-resources professionals and sparking vigorous academic inquiry, particularly amid researchers in the field of leadership studies. Inarguably, the relevance of previous research findings has diminished over time due to the dynamism of demographic transformations, specifically the pronounced generational transition within modern workplace, can no longer be neglected. Additionally, the global applicability of previous literature, predominantly rooted in western or developed nation contexts, is increasingly scrutinized against the backdrop of developing economies. Grounded in the conceptual principles of Social Identify Theory and Social Exchange Theory, this paper seeks to explore the relationship between ethical leadership and affective commitment for employees who engaged in employment with Malaysia’s micro, small and medium enterprises. Furthermore, this research delves into the potential mediation role of psychological empowerment in aforementioned relationship. Operationally, this paper is orchestrated as a mixed-methodological study, intertwining quantitative surveys and qualitative interviews in order to ensure richness and thickness of the data. Moreover, Confirmatory Factor Analysis and Structural Equation Modelling, with path analysis, are applied to scrutinize the interconnectedness of variables before the final model is established. The synthesis of findings from 213 survey participants and semi-structured interviews with three human resources practitioners culminate in the validation of a positive relationship between ethical leadership, psychological empowerment and affective commitment. Fascinatingly, psychological empowerment became known as a partial mediator, laying emphasis on the multifaceted role it plays in this intricate relationship. To a large extent, the contributions of this paper are manifold. It enriches the body literature of ethical leadership literature with empirical evidence from a non-Western vantage point and equips practitioners with evidence-based insights to refine human resources strategies, addressing the lingering challenge of employee turnover. For the scholarly community, it lays out a robust scaffold for future investigative ventures into the domain.
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