From green intentions to financial performance: assessing the influence of green HRM within Turkish SMEs

Purpose This study aims to explore the effect of green human resource management (GHRM) on employees’ pro-environmental behaviors. Furthermore, it explores the mediating role of employees’ pro-environmental performance in the relationship between GHRM and firms’ social performance. Finally, it tests a sequential mediation model that presents the indirect effects of GHRM practices on firms’ financial performance via employees’ task-related and proactive pro-environmental behaviors and firms’ social performance. Design/methodology/approach Data were collected from 945 small- and medium-sized enterprises (SMEs) in Türkiye. Structural equation modeling was conducted using MPlus software. Findings The results confirmed that GHRM has a significant indirect effect on firms’ financial performance via employees’ task-related and proactive pro-environmental behaviors and firms’ social performance. Practical implications The results imply that SMEs should invest in GHRM practices to appraise employees’ task-related and proactive pro-environmental behaviors and align their approach to pro-environmental behaviors. SMEs should provide a workplace environment that encourages and motivates employees to engage in green activities and contribute to environmental management. Originality/value This study shows that employees’ task-related and proactive pro-environmental behaviors are critical to GHRM and firms’ social performance. Furthermore, the study brings new empirical evidence to the field of GHRM in the under-researched Turkish SMEs context.