Toward Understanding the Direct and Indirect Effects of Transformational Leadership on Well-Being

Abstract
In this two-wave longitudinal panel study, the authors strived to advance understanding of how transformational leadership affects employee well-being over time. The authors proposed a model that included both direct and indirect effects, which was tested in a sample of social service employees. Results of structural equation modeling revealed that transformational leadership had no direct effect on well-being over time. Instead, both the short-term and long-term effects of transformational leadership on well-being were mediated by a positive climate for innovation. The study contributes to knowledge about the complicated processes by which leaders influence well-being of employees.