Leading from home: how different leadership styles and the quality of the relationship affect job satisfaction, stress, and organizational identification in remote work

Purpose This study examines the impact of exploitative, transformational, and servant leadership on employee well-being outcomes in remote work settings. Design/methodology/approach Specifically, it investigates how these leadership styles are related to job satisfaction, employees' perceived stress, and whether organizational identification mediates this relationship. Further, we tested whether the indirect effect of leadership style via organizational identification on (1) job satisfaction and (2) perceived stress is moderated by leader–member exchange (LMX). Data were collected from a sample of 1,922 internet-using German employees. The study employed multiple regression analyses, mediation analyses and moderated mediation analyses. Findings The results indicate that transformational leadership is positively associated with job satisfaction; however, no significant relationship with stress could be identified. Servant leadership was positively associated with job satisfaction and perceived stress, while exploitative leadership correlated positively with stress and negatively with job satisfaction. Organizational identification mediated these relationships with positive b-paths. No mediation occurred for transformational or servant leadership on perceived stress. LMX showed no moderating effect. Originality/value These insights have important implications for organizations to optimize leadership strategies in remote work settings. Without regular in-person communication, leaders should cultivate close relationships with their employees to strengthen organizational identification, enhancing job satisfaction and reducing perceived stress.