Ethical leadership and employee performance: The role of Islamic work ethics and knowledge sharing

BACKGROUND: Many recent studies recommend ethical leadership as a key antecedent to improving employee performance in organizations. OBJECTIVE: Therefore, this study aims to examine how ethical leadership affects employee performance by focusing on the role of Islamic work ethics and knowledge sharing. METHODS: Based on data obtained from 196 Muslim employees who work in the three stone milling companies located in Central Java - Indonesia, this study uses a survey in the form of a questionnaire and Structural Equation Modeling (SEM) based on Amos 24.0 software to test hypotheses in the proposed research model. RESULTS: The results of this study prove that ethical leadership has a significant effect on employee performance, Islamic work ethics, and knowledge sharing. Furthermore, Islamic work ethics and knowledge sharing significantly improve employee performance. CONCLUSION: The findings in this study further confirm that Islamic work ethics and knowledge sharing play an important role in linking ethical leadership and employee performance.