Navigating Organizational Justice and Ethical Leadership: Empirical Evidence from Saudi Arabia

Abstract

Organizational justice is influenced by interpersonal relationships in the workplace. This study investigates the moderating role of ethical leadership on the relationship between justice dimensions (distributive justice, procedural justice, interpersonal justice, and informational justice) and employees’ ethical behavior. We identified a sample of 545 supervisor–subordinate dyads from the banking industry in Saudi Arabia and found that ethical leadership positively and significantly moderates the relationship between organizational justice and employees’ ethical behavior. Nevertheless, the interaction between interpersonal justice and ethical leadership was insignificant. Our findings show the important role played by managerial ethical leadership in increasing the positive impact of organizational justice dimensions on employees’ ethical behavior.