Cleansing or Licensing? Corporate Social Responsibility Reconciles the Competing Effects of Unethical Pro-Organizational Behavior on Moral Self-Regulation

Although emerging actor-centric research has revealed that performing morally laden behaviors shapes how employees behave subsequently, less is known about what work behaviors may emerge following employees’ unethical pro-organizational behavior (UPB)—a unique behavior with competing moral connotations. We integrate the moral self-regulation literature with research on micro corporate social responsibility (CSR) to develop and test a theoretical framework articulating how perceived CSR initiatives reconcile the morally paradoxical nature of UPB and how people respond to such behavior. We propose that, given its dual moral nature, performing UPB simultaneously increases feelings of moral deficit (which triggers moral cleansing) and psychological entitlement (which triggers moral licensing). Importantly, perceived CSR initiatives moderate these countervailing psychological experiences by strengthening feelings of moral deficit while weakening psychological entitlement, which respectively result in increased service-oriented helping behavior and decreased deviant behavior. Results from a scenario-based lab study, an online experiment, and two field studies largely corroborate our propositions. This research provides a finer-grained understanding of the complex moral self-regulation processes that employees experience at work and highlights why and how organizations’ CSR initiatives affect employees’ moral mindsets and behaviors.