The Impact of Green HRM Practices on Employee Performance: Mediating Role of Psychological Ownership in The Banking Sector of Pakistan

Abstract

This paper investigates the mediating role of psychological ownership in the association between green human resource management and employee performance. The study utilized a quantitative research design based on data analysis of 980 employees from 20 commercial banks in Pakistan. Psychological ownership mediates the association between green human resource management practices and employee performance. The paper highlights the significance of green human resource management practices in fostering psychological ownership and enhancing employee performance in the workplace. For future studies, longitudinal designs with multiple sources and stages of data collection will be essential to gain a profound understanding of the relationship between the constructs. Testing across various organizational forms and cultures is recommended for a comprehensive assessment. Managers are encouraged to raise employee awareness through green human resource management practices to help employees attain a competitive edge by enriching their knowledge, skills, and abilities, enhancing their quality of life and work performance. This study contributes to the existing literature by offering a descriptive and practical elucidation of the role of psychological ownership among the employees of the banking sector in Pakistan in the connection between green human resource management practices and employee performance. The banks must recruit those individuals who have the knowledge and work for a sustainable environment, and they own their position at the workplace.