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Purpose

Employees' well-being has emerged as a critical issue in the software industry. Therefore, our study examines the detrimental effect of exploitative leadership on subjective well-being directly and through self-efficacy. We also investigate the buffering effect of resilience on this relationship using the conversation of resources (COR).

Design/methodology/approach

Data were collected from 585 software industry professionals via two-way self-administered questionnaires. The proposed hypotheses were tested using Process Model 5.

Findings

Our study confirms the negative effect of exploitative leadership on subjective well-being, both directly and indirectly via self-efficacy. Furthermore, the findings indicate that resilience reduces the negative effect of exploitative leadership on subjective well-being.

Research limitations/implications

Our study contributes to the existing literature on exploitative leadership by demonstrating its detrimental effects on employee’s subjective well-being. It also provides a more nuanced understanding of the unexplored relationship between exploitative leadership and subjective well-being by explaining the mediating role of self-efficacy and the moderating role of resilience.

Practical implications

Policymakers and human resource practitioners may design training and development programs to promote morality and ethical behaviors. This will enhance employees' subjective well-being, aligning with SDG 3’s goal of ensuring healthy lives and promoting well-being for all.

Originality/value

Our study provides a novel perspective by expanding the nomological network of exploitative leadership to include lower self-efficacy and subjective well-being. It also extends our understating of how resilient employees sustain their well-being under exploitative leadership.

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