The Influence of Ethical Leadership, Employees’ Perceptions of Corporate Social Responsibility, and Affective Organisational Commitment Towards the Turnover Intention in Malaysian Companies

Kam, Poh Yee (2024) The Influence of Ethical Leadership, Employees’ Perceptions of Corporate Social Responsibility, and Affective Organisational Commitment Towards the Turnover Intention in Malaysian Companies. Masters thesis, Tunku Abdul Rahman University of Management and Technology.

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Abstract

Turnover intention has been discussed by many researchers until today. However, there is less research focus on the factors which would cause the employees to have turnover intentions that are ethical leadership and employees’ perceptions of corporate social responsibility (CSR). Also, the empirical evidence to discuss employee-organisation relationship and organisational commitment, which in the context of CSR is extremely limited. Thus, this research examines the effect of ethical leadership, employees’ perceptions of CSR, and affective organisational commitment on turnover intention in Malaysian companies. To answer these questions, a survey of 26 questions was electronically disseminated to 210 employees in any organisation within Malaysia. The data obtained was analysed using SPSS and PLS-SEM statistical analysis software. The results showed that there is a significant positive relationship between ethical leadership and employees’ perceptions of CSR toward turnover intention, which was against the hypothesis set by the researcher. Nevertheless, ethical leadership and employees’ perceptions of CSR show a significant positive relationship with affective organisational commitment, while affective organisational commitment shows a negative relationship toward turnover intention. Additionally, the results also showed that affective organisational commitment mediates the relationship between ethical leadership and employees’ perceptions of CSR towards turnover intention. The research’s findings are helpful for Malaysia’s organisation to better understand what factors which will affect the turnover intention and to develop effective retention strategies to reduce employee turnover