Unethical Pro-organizational Behavior and Positive Leader–Employee Relationships

Unethical pro-organizational behaviors (UPB) are unethical, but prosocially-motivated, acts intended to benefit one’s organization. This study examines the extent to which employees are willing to perform UPB to benefit a liked leader. Based on social exchange theory, we hypothesized that LMX would mediate the association of interpersonal justice with UPB willingness. Moral identity and positive reciprocity beliefs were examined as moderators. Higher LMX was significantly and positively related to UPB willingness, and the indirect effect of interpersonal justice on UPB via LMX was significant and positive. These findings suggest that LMX and interpersonal justice could have a previously-unexplored dark side. Moral identity had a negative direct relationship with UPB, but it did not moderate the relationship of LMX with UPB. Thus, LMX facilitates UPB willingness even when employees are high in moral identity. LMX is associated with many positive outcomes, but our results show that high LMX may also increase willingness to perform unethical behaviors to benefit one’s leader. These results contribute to the literature by identifying a potential negative outcome associated with high LMX.