Does transformational and transactional leadership in Indonesia’s construction sector affect organizational citizenship behavior through job satisfaction?

Abstract

Construction service companies have projects that must be finished and require workers. Failure to manage construction human resources can jeopardize goal achievement, performance, and revenues for construction service companies. The construction industry may encounter issues in the future because of inefficient human resource management. As a result, resource management has emerged as a prominent topic. This study aims to investigate the effect of transformational and transactional leadership on organizational citizenship behavior. This study utilizes a quantitative approach. The population in this study were employees from 8 construction companies in Indonesia. Questionnaire data were collected from 120 employees of the construction companies that intended to improve job satisfaction and organizational citizenship behavior. The study initially employed questionnaires to gather data, which were subsequently analyzed using SmartPLS software and structural equation modeling. The findings demonstrated a correlation between employee engagement and both transformational and transactional leadership styles. There is a positive correlation between employees’ job satisfaction and their commitment to volunteer in the community. The study shows that the transformational and transactional leadership style does not significantly affect organizational citizenship behavior.