Organisational Change and Employees Intention to Stay at the Berekum Municipality: The Moderating Role of Ethical Leadership

Abstract

This study examined the effect of organizational change on employee intention to stay through the moderating role of ethical leadership in Berekum Municipality in the Bono Region, Ghana. The proposed conceptual model is tested by using the data collected from a sample (n = 269) of assembly staff at Berekum municipality. The study employed a explantory research design. A total of 269 respondents were used as sample population determined using the Morgan table. The study adopted structural equation modelling for the analyses. The measurement models used for the study were the indicator loadings, internal consistency reliability, Convergent validity and the Discriminant validity. Findings revealed that there is a positive and significant relationship between organisational change and employee intention to stay. Further, ethical leadership showed a positive and significant effect on employees’ intention to stay. Finally, ethical leadership moderates the effect of organisational change on employees’ intention to stay. This study elucidates that, in Berekum municipality, ethical leadership plays a key role in decreasing employees’ intention to quit. The study concludes that the demonstration of ethical leadership behaviours by assembly staff at the municipal reduces employee’s intention to leave the job via the implementation of change interventions. The study thereby recommended that leaders must create an ethically friendly work environment for all employees, communicate ethical issues, serve as role models and ensure the development of responsible employees.