The Effect of Ethical Leadership and Organizational Justice on Employee Engagement — The Mediating Role of Employee Trust

Abstract

The purpose of this research was to examine the effects of three different variables including ethical leadership, organizational justice and ethic-based contingent reward on employee trust and employee engagement in the technical companies in Vung Tau City, Vietnam. The research conceptual framework and hypotheses were constructed, based on previous theoretical and empirical studies. The primary data was collected from 312 technicians. Several statistical techniques including exploration factors analysis, multiple regressions and path analysis were used to test hypotheses of the study. The empirical results showed that ethical leadership and ethic-based contingent reward had directly effect on employee engagement. In addition, these factors and organizational justice indirectly affected employee engagement through employee trust. Consequences, the fair, ethic and reward are important role for organization. These factors can enhance the level of trust and keep the employees engaging in their jobs.