Abstract

The purpose of this study is to explore the moderating effect of authentic leadership (AL) on the relationship between perceived organizational politics and its negative outcomes on employees: intention to leave (ITL), employee engagement (EE), and job stress (JS). In this study, 575 respondents were selected, and hypothesis testing was done through confirmatory factor analysis, correlation analysis, and multiple hierarchical regression analyses. The findings of this study reveal that Perceived Organizational Politics (POP) positively affects JS and ITL, but its impact on EE is not significant. AL did not moderate the POP and EE or JS relationship; however, it did buffer the POP and ITL relationship. The study applies social exchange theory (SET) and the job demands-resources (JD-R) model to explain the observed relationships. Managers can enhance employee well-being and lower employee turnover rates by reducing organizational politics. AL, defined by ethical conduct, openness, and genuine care for staff, can play a key role in reducing the harmful effects of political workplace environments, especially in relation to stress and employees’ ITL. This can be done by promoting collaboration, supporting team-oriented practices, and building a positive work atmosphere. This study is based on primary data and addresses the research gap concerning the buffering role of AL in the relationship between perceived organizational politics and its negative effects on employee behavior. It also enriches understanding about the effect of perceived organizational politics on employee outcomes, specifically JS, EE, and ITL in the organization.