ABSTRACT

This study aimed to examine the effect of ethical leadership on performance appraisal satisfaction. The study also examined the role of trust as a mediator in the relationship between ethical leadership and performance appraisal satisfaction. The data were collected through questionnaires and completed by 205 teaching academics in the faculty of economics and business at university in Yogyakarta. Validity and reliability testing were carried out before testing the hypotheses, and the data were analyzed using PROCESS. The results of the study show that ethical leadership and trust have a positive effect on performance appraisal satisfaction. The results also provide empirical evidence of an indirect influence of ethical leadership on performance appraisal satisfaction through the mediation of trust. For higher education management, the results of this study demonstrate the role of ethical leadership in increasing trust as a way to increase lecturer satisfaction with performance appraisal.