The Impact of Despotic Leadership on Employee Turnover: Understanding the Role of Toxic Workplace Culture

Abstract

Leadership plays a crucial role in shaping the workplace environment and influencing the behavior of employees. Despotic leadership which is characterized by authoritarian control and unethical practices, can have a profound impact on employee turnover, especially when combined with a toxic workplace. This study aims to investigate the relationship between despotic leadership and employee turnover, with the mediating role of a toxic workplace environment. This study utilizes a quantitative approach and the data was collected through a structured questionnaire distributed to 201 employees from both public and private banks in the twin cities. A total of 100 valid responses were obtained to assess the influence of despotic leadership, toxic workplace environments, and employee turnover. The analysis was conducted using statistical methods to evaluate the direct and indirect relationships between these variables. The results of the study revealed that despotic leadership has a strong positive correlation with employee turnover. Moreover, the toxic workplace environment was found to mediate this relationship, further intensifying turnover intentions among employees. This study provides the practical contributions that organizations must foster healthier leadership styles to enhance employee retention and reduce the negative consequences of a toxic work environment