Creating an ethical organizational environment: The relationship between ethical leadership, ethical organizational climate, and unethical behavior

Abstract The purpose of this research is to provide a richer lens on the ethical organizational environment by examining the relationship between ethical leadership and unit‐level unethical behavior through ethical organizational climate (EOC), with collective moral identity as a boundary condition. In testing our theoretical model, we first develop and validate a measure of EOC to address concerns with existing measures of ethical climate. Second, we examine the role of collective moral identity as a moderator of the relationship between EOC and unit unethical behavior. We discuss implications regarding the importance of developing a more comprehensive conceptualization of EOC.