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All Journal Studi Ilmu Manajemen dan Organisasi
Aditama, Cellila
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Economics, Econometrics & Finance

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Staying Despite Unethical Leadership: Evidence from Indonesian State-Owned Enterprises Prasetya, Agustian Budi; Bakrie, Nyiayu Olivia Miranda; Aditama, Cellila
Studi Ilmu Manajemen dan Organisasi Vol 7 No 1 (2026): April
Publisher : Penerbit Goodwood

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/simo.v7i1.6229

Abstract

Purpose: This study examines the effect of UL on employees’ Intention to Stay (ITS) in Indonesian SOEs, investigating the mediating role of PGS and the moderating role of RC. Research Methodology: Data were collected through an online survey of SOE employees aged 18–60 years with a minimum tenure of two years. Using non-probability sampling, 156 valid responses were analyzed using PLS-SEM. Results: PGS had a strong positive effect on ITS (? = 0.638, p < 0.001), emerging as the primary driver of employee retention intentions. In contrast, UL did not significantly influence PGS (? = 0.094, p > 0.05), and PGS did not mediate the relationship between UL and ITS. Likewise, the moderating effect of RC on the UL–PGS relationship was non-significant (? = 0.004, p > 0.05). Conclusions: Based on the empirical results, this study concludes that ITS in Indonesian SOEs is driven primarily by PGS rather than direct exposure to UL. Limitations: The event-based measurement of UL may not capture cumulative exposure effects, and the focus on Indonesian SOEs may limit generalizability to other organizational contexts. Contributions: Strengthening the PGS is a more effective retention strategy than focusing solely on reducing the UL. This study highlights the importance of development-oriented work design and accountability structures in sustaining ITS within highly structured organizations, such as Indonesian SOEs.
Co-Authors Agustian Budi Prasetya, Agustian Budi Bakrie, Nyiayu Olivia Miranda