Antecedent and consequences of sustainability employee’s perception of greenwashing: the role of ethical incentive

Interest in the consequences of greenwashing has been growing, highlighting a notable research gap regarding both antecedents and consequences and a need to understand underlying mechanisms. Our study delves into these aspects by focusing on employee-perceived greenwashing (EPG) in the context of employees, along with examining how ethical incentives moderate the obedience to authority (OTA) and EPG relationship. We conducted a questionnaire survey involving 470 employees across various industries in Hubei, Jiangsu, and Shandong provinces from March to June 2023. Our findings reveal that OTA (antecedent) positively influences EPG, and EPG, in turn, negatively impacts employee green behavior, trust, word-of-mouth, affective commitment, and job performance (consequences). Furthermore, our study illustrates that ethical incentives can mitigate the adverse effects of obedience on perceptions of greenwashing. In essence, our research substantially contributes to the ongoing debate regarding the advantages of greenwashing, particularly within the realms of human resource management and micro-level analysis. The practical implications of our findings underscore the necessity of fostering close collaboration among various departments, notably Human Resources, Marketing, and Corporate Social Responsibility, to promote the sustainable development of businesses.