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Abstract

This paper examined the influence of ethical leadership on work-related stress and employee commitment within the theoretical foundations of social exchange and social learning theories. Rank-and-file employees from a serviceoriented organization were surveyed to measure their perceptions on the ethical behaviors of their leaders and how this is related to work-related stress and employees' organizational commitment. Results verified that in the Philippines, perceived ethical leadership leads to a reduction of employee's work-related stress. Also, the detrimental effect of work-related stress on the organizational commitment of employees was confirmed. However, this effect may be reduced significantly through ethical leadership. It is recommended that companies enforce and practice ethical leadership behaviors to motivate positive behavioral outcomes from employees and circumvent the negative effects of work-related stress.

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