The purpose of this paper is to examine the relationships between team psychological safety and team performance and to test the mediating effect of learning orientation and moderating effect of psychological empowerment on that relationship.

Data were collected from 50 teams and 345 team members from 20 different organizations. The moderated mediation analysis of psychological empowerment was tested using hierarchical regression analysis (PROCESS Macro) in SPSS.

The results show that higher the psychological empowerment, higher is the effect of psychological safety and learning orientation on team performance. Results supported the moderated mediation analysis of psychological empowerment.

Given that psychological empowerment and learning orientation of team members will effect team performance, organizational efforts to foster psychological empowerment should be rewarding. Focusing on channelizing team psychological safety to improve team members’ relationship, openness and comfort with each other will increase team performance.

The study incorporated learning orientation and psychological empowerment to redefine the relationship between psychological safety and team performance.

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