Greenwashing in workplace: The influencing mechanism of psychological contract fulfillment and the moderating role of ethical work climate

Although green strategies are advocated, not all organizations follow the environmentally friendly rules as they claim. The term of greenwashing is applied to organizations that exaggerate their efforts in protecting the environment and provide misleading information about the greenness of their service. Employees may undertake unethical pro-organizational behaviors (e.g., greenwashing), when they are equipped with less environmentally friendly products. This investigation explores the mechanism of psychological contract fulfillment affecting greenwashing behavior in the hospitality context. We use a mixed-method approach and conduct two studies by collecting both quantitative and qualitative data. Findings suggest that psychological contract fulfillment increases the level of greenwashing behavior, with moral disengagement playing a mediating role. Further, an ethical climate moderates the relation between psychological contract fulfillment and moral disengagement; specifically, when employees work in a team with a high-level ethical climate, the positive relation between psychological contract fulfillment and moral disengagement is weakened. This research deepens the existing insight into the mechanism of influencing service workers’ greenwashing behaviors.