For any organization, it is crucial to understand that its internal CSR practices should be perceived positively and enhance satisfaction and happiness, ultimately leading to its employees’ long-term intention to stay and improved job performance.
Objective
Drawing on social exchange theory and social identity theory, the study examines the role of internal CSR in promoting employee happiness, intention to stay, and job performance through top management support.
Methods
The data were collected using a self-administered survey and convenience sampling. Initially, 450 questionnaires were distributed among hotel staff at various levels; however, only 293 questionnaires were used for further analysis. Notably, 70.30% of the respondents were male and 29.70% female, with the majority being young adults aged 20–30 (53.24%) and 30–40 (25.94%). PLS-SEM using Smart PLS (4.0) was used to test the proposed hypotheses.
Results
Top management support moderates the relationship between internal CSR and happiness at work. The findings also show that happiness at work mediates the relationship between internal CSR and employee intention to stay. Intention to stay mediates the relationship between happiness at work and employee job performance. Finally, the study results indicate that happiness at work and intention to stay sequentially mediate the relationship between internal CSR and employee job performance.
Conclusions
Internal CSR practices such as work-life balance initiatives, fair treatment, employee development, and inclusive policies are essential for promoting well-being. Organizations that focus on these practices are better able to improve employee satisfaction, happiness, their long-term stay, and job performance.
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