The purpose of this paper is to examine the effect of authentic leadership (AL) on employees' health via employees' perception of climate of authenticity (PCA) across two studies. In study 2, the authors additionally explore the moderating role of employees' neuroticism.
The hypotheses were tested across two studies using two-wave survey data. In study 1 (n = 104), the mediation hypothesis was tested. Study 2 (n = 146) extended study 1 and examined the moderated mediation model.
Across both studies, AL is positively related to employee health, and employees' perceived climate of authenticity mediates this relationship. Study 2 additionally shows that employees' neuroticism moderates this indirect effect such that perceived climate of authenticity instigated by AL is particularly conducive for employees high in neuroticism as opposed to those low in neuroticism.
Findings emphasize the health-promoting effect of AL. It is recommended that organizations cascade, through their leaders, emotional display rules that encourage genuine emotional expression.
This paper addresses gaps in the leadership literature through investigating perceived climate of authenticity, a mediating variable that lies at the heart of AL, and integrating the role of employees' personality in the leadership process.
