To forgive or not to forgive an organisation: Perceived integrity versus competence transgressions shape consumers' forgiveness of transgressing organisations

Abstract Forgiveness can de‐escalate conflicts and transform resentment into constructive responses. Although we have learned much about interpersonal and intergroup forgiveness in the last two decades (Fehr et al., 2010; Noor, 2016; Van Tongeren et al., 2014), we still know little about the dynamics underpinning individuals' forgiveness of organisational transgressions. We report two studies that investigated the importance of perceived transgression types (lack of integrity vs. lack of competence vs. control) in determining forgiveness towards transgressing organisations. In both studies, organisations were less forgivable when their transgressions were attributed to the lack of integrity (vs. competence or control condition). Forgiveness mediated the negative impact of transgression on punitiveness, highlighting the buffering role of forgiveness in the aftermath of organisational failings. Our findings generalised across both public and private organisations, different designs and cultural contexts.