Does ethical leadership deter unethical behavior in the public sector? Exploring the mediating effects of public service motivation

Purpose Although the influence of ethical leadership (EL) on individual and organizational performance and outcomes is well documented, studies about its effects on subordinates’ unethical behavior are limited, especially in developing countries. The present study aims to address this gap: it examines the impacts of EL on specific forms of staff conduct known as unethical pro-organizational behavior (UPB). Using public service motivation (PSM) as an intervening variable, it investigates whether EL can facilitate positive outcomes by reducing employees’ willingness to engage in UPB. Design/methodology/approach The present study uses a quantitative approach and draws on survey data gathered from 362 local-level officials in Pakistan’s Gilgit-Baltistan region. The proposed research model has been tested with structural equation modeling techniques. Findings The results demonstrate that PSM acts as a precarious nexus through which EL reduces UPB. They further show that EL cultivates PSM in a way that boosts employees’ intrinsic motivation to serve ethically, which, in turn, reduces their inclination to get involved in UPB. Practical implications The findings offer valuable insights for those in leadership and managerial positions in the public sector. They show how EL can be leveraged to overcome an increasingly prevalent conundrum in contemporary organizations. Originality/value The present study addresses a critical gap in the literature by examining the EL–UPB links that have remained unexplored in non-Western contexts. Furthermore, it applies a new lens to UPB in analyzing the intervening role of PSM in public organizations in a developing country, Pakistan.