THE IMPACT OF GREEN HRM ON ENVIRONMENTAL PERFORMANCE WITH THE MEDIATING EFFECTS OF GREEN ORGANIZATIONAL CULTURE AND EMPLOYEE ENVIRONMENTAL COMMITMENT AND THE MODERATING ROLE OF GREEN TRANSFORMATIONAL LEADERSHIP

Abstract

Green Human Resource Management (GHRM) is often viewed as a driver of organizational sustainability; yet, little research is available to explain the mechanisms by which GHRM enhances environmental performance in emerging economies. To bridge this gap, the present study explores the direct impact of Green Human Resource Management on Environmental Performance and the mediating roles of Employee Environmental Commitment (EEC) and Green Organizational Culture (GOC) along with the moderating role of Green Transformational Leadership (GTL).  Data were collected utilizing a quantitative research approach with a cross-sectional survey design. Primary data was acquired through a standardized questionnaire which was administered to the employees working in the banking sector of Pakistan. After data screening, a total of 102 replies were obtained and 100 valid questionnaires were maintained for statistical analysis. The measurement and structural models were assessed and the presented hypotheses were tested by the Partial Least Squares Structural Equation Modelling (PLS-SEM) in SmartPLS.  The research indicates that Green Human Resource Management has no statistically significant direct effect on Environmental Performance. Employee Environmental Commitment does not significantly moderate the association between Green Human Resource Management and Environmental Performance as well. In contrast, Green Organizational Culture played a substantial mediating role in this connection suggesting that organizational culture was the main mechanism through which green HR practices contributed to environmental sustainability. This study is different from prior studies that studied these mechanisms separately by examining two mediators and one moderator simultaneously in one model. The present study offers a thorough explanation of the organizational processes underpinning environmental sustainability through the integration of the Resource-Based View, Ability-Motivation-Opportunity Theory, and Social Exchange Theory.