Ethical Leadership and Turnover Intentions: A systematic literature review

"Employee turnover intention" is linked to significant direct and indirect costs for the organization. Despite the increased interest in ethics-related topics, research has not comprehensively studied turnover intention from an ethical perspective. The purpose of this paper is to outline research conducted on the impact of ethical leadership on employee intention to leave the organization. By conducting a systematic literature review, 36 articles which study the relationship between ethical leadership and turnover intention were selected and analyzed. Findings mostly confirm the negative indirect relationship between ethical leadership and turnover intentions. Data are presented based on the coverage of the articles, the methods used, the geographical scope and the unit of analysis. The study focuses on commonly found mediators (such as ethical climate, organizational commitment, supervisor trust, job satisfaction, work meaningfulness, job-related stress) and moderators (such as stress, core self-evaluation, perceived organizational support, culture), and any potential negative impacts of ethical leadership on work outcomes. Future research suggestions are also listed. Changes brought about by COVID-19 have rendered an honest, fair and transparent leader more necessary than ever. The review extends our understanding of how ethical leadership influences turnover intentions and provides insight into potential future challenges which need to be addressed more thoroughly. The distinct contribution of this paper lies in the examination of the role of the ethical leadership style in mitigating negative employee outcomes.

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