Transformational-transactional leadership and unethical pro-organizational behavior in the public sector: does public service motivation make a difference?

This study focuses on a unique phenomenon known as 'unethical pro-organizational behaviour (UPB)' that an explicit discussion on it is rarely present within public administration. We investigate the role of transactional and transformational leadership on UPB in the public sector using survey data on 4,166 bureaucrats in South Korea. Also, we explore how public service motivation (PSM) moderates the relationship between leadership and UPB. The results reveal that transactional leadership is positively related to followers' UPB. On the other hand, transformational leadership has a curvilinear relationship (inverted U-shaped) with employees' UPB. These findings show that followers' unethical behaviour for the sake of organization is vulnerable to the leaders' influence, but the direction of impact may vary depending on their leadership style. Moreover, we find that PSM moderates the relationship between two different leadership styles and follower's UPB. These results imply that individual civil servants, even if their behaviours are under the great influence of leaders, can control UPB through public service identity.