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Examining Effect of Green Transformational Leadership and Environmental Regulation through Emission Reduction Policy on Energy-Intensive Industry’s Employee Turnover Intention in China

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  • Liang Li

    (School of Business, Nanjing University of Information Science and Technology, Nanjing 210044, China
    Research Center for Prospering Jiangsu Province with Talents, Nanjing University of Information Science and Technology, Nanjing 210044, China)

  • Bangzhu Zhu

    (School of Business, Nanjing University of Information Science and Technology, Nanjing 210044, China
    Research Center for Prospering Jiangsu Province with Talents, Nanjing University of Information Science and Technology, Nanjing 210044, China)

  • Xiahui Che

    (School of Business, Nanjing University of Information Science and Technology, Nanjing 210044, China)

  • Huaping Sun

    (School of Finance and Economics, Jiangsu University, Zhenjiang 212013, China)

  • Meixuen Tan

    (School of Business, Nanjing University of Information Science and Technology, Nanjing 210044, China)

Abstract

This study explored a theoretical model of factors affecting employee turnover intentions in the energy-intensive industry from the perspective of environmental regulation through emission reduction policy. Moreover, we examined whether green transformational leadership has a negative effect on the perception of turnover risk of energy-intensive corporate employees and their turnover intentions; we collected data on 531 employees in the energy-intensive industries in China. Data analysis was conducted using exploratory factor analysis, reliability and validity analysis, stepwise regression model analysis, and a structural equation model to test the research hypothesis. The results revealed that environmental regulation through emission reduction policy has a significant impact on employee perception of turnover risk and turnover intention in energy-intensive industries in China. The perception of turnover risk has a greater effect on the turnover intention among employees than the emission reduction policy. Moreover, we found that the perceived risk of turnover has a mediating effect in the relationship between environmental regulation through carbon emission reduction policy and turnover intention. However, green transformational leadership has an inhibiting effect on the perception of turnover risk and turnover intention among employees. This research has crucial theoretical significance for the transformation of energy-intensive enterprises and promoting the sustainable development of energy-intensive enterprises in China.

Suggested Citation

  • Liang Li & Bangzhu Zhu & Xiahui Che & Huaping Sun & Meixuen Tan, 2021. "Examining Effect of Green Transformational Leadership and Environmental Regulation through Emission Reduction Policy on Energy-Intensive Industry’s Employee Turnover Intention in China," Sustainability, MDPI, vol. 13(12), pages 1-21, June.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:12:p:6530-:d:570924
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