Review of Economics and Development Studies Vol. 5, No 2, June 2019 269 Volume and Issues Obtainable at Center for Sustainability Research and Consultancy Review of Economics and Development Studies ISSN:2519-9692 ISSN (E): 2519-9706 Volume 5: No. 2, June 2019 Journal homepage: www.publishing.globalcsrc.org/reads Effects of Despotic Leadership and Sexual Harassment on Emotional Exhaustion of Employees in Health Sector of Pakistan: Moderating Role of Organizational Cynicism 1 Muhammad Shaukat Malik, 2 Shahzadi Sattar 1 Director, Institute of Banking & Finance, Bahauddin Zakariya University Multan, Pakistan, shoukatmalik@bzu.edu.pk 2 PhD Scholar, Institute of Banking & Finance, Bahauddin Zakariya University Multan, Pakistan, shahzadi.sattar@nfciet.edu.pk ARTICLE DETAILS ABSTRACT History Revised format: May 2019 Available Online: June 2019 The purpose of this research study has been to examine the relationship between despotic leadership, emotional exhaustion and sexual harassment in the presence of organizational cynicism as the moderator. The above- mentioned relationships were empirically tested by collecting and analyzing the data from the government sector hospitals in Pakistan. The target respondents were female nurses working in the six different hospitals of Multan and Bahawalpur region. The sample of 350 nurses was randomly chosen to collect the data. The results of the study proved the positive effect of despotic leadership with the employee emotional exhaustion. The other relation, which is proved, is the significant positive relationship between sexual harassment and the emotional exhaustion in the presence of organizational cynicism as the moderator. Based on the social exchange theory it is inferred that a reciprocal relationship exists in the organizational context between the leaders and the subordinates when the trauma and depression is lent to the subordinates the subordinates feel emotionally deteriorated. © 2019 The authors, under a Creative Commons Attribution- NonCommercial 4.0 Keywords Despotic Leadership, Emotional Exhaustion, Sexual Harassment, Organizational Cynicism JEL Classification: D91, J54, H75 Corresponding author’s email address: shahzadi.sattar@nfciet.edu.pk Recommended citation: Malik, M. S. and Sattar, S., (2019). Effects of Despotic Leadership and Sexual Harassment on Emotional Exhaustion of Employees in Health Sector of Pakistan: Moderating Role of Organizational Cynicism, Review of Economics and Development Studies, 5 (2), 269-280 DOI: 10.26710/reads.v5i2.587 1. Introduction The dysfunctional behavior exhibited by the organizational managers in the form of leadership style or sexual harassment is generally a source of damage or deterioration to the peer group, subordinates and ultimately to the organization as well. The dysfunctional behavior as defined by the Peterson (2002) is a behavior that violates the policies and norms of workplace. This damages the overall organizational performance. With the passage of time negativity is flourishing at the workplace like workplace bullying, leg pulling, sexual harassment, exaggeration, embezzlement and other below the belt activities. The other forms of negative behavior is selfishness, extending break times, accepting kickbacks, theft and much more are flourishing with remarkable growth rate. The repercussions or jeopardizes of dysfunctional behaviors are quite enough can’t be discussed extensively. The remedy is constructive leadership style instead of abusive, despotic, tyrannical and toxic leadership style that is fostered in the presence of the favorable organizational atmosphere instead of cynicism. If the negativity prevails then employee absenteeism, declining productivity, increased turnover intentions and job dissatisfaction is the fate of the organization. Chronic sufferings of employees lead them feel emotional exhaustion. When emotionally exhausted the employees personal and professional well being is at stake. http://www.publishing.globalcsrc.org/reads Review of Economics and Development Studies Vol. 5, No 2, June 2019 270 According to Chauhan, Nisma (2014) the historical perspective of nurses has focused more on cure than care. We are focusing more on producing doctors than nurse. Even though they play in integral role in patient care but they are given least recognition comparatively which has led drastic shortage of nurses in the country. Journal of Pioneering Medical Sciences (2013) has cited existing nurse patient ratio as 1:50 whereas Pakistan Nursing Council (PNC) has prescribed 1:10. Pakistan has only 162 registered nursing colleges. The demand of the nurses in health sector exceeds supply. The shortage of health sector is due to the stigma attached with this profession. According to Salma Rattani the director Bachelors of Science in Nursing (BSN) at Agha Khan University Karachi and (SONAM) School of Nursing and Midwifery said that “Nursing isn’t a well reputed profession for females”. Even though there is the sincere efforts from female nurses but ironically this profession is not safe from the usual biases. The odd –hours or in far- off areas nurses are exposed to security risks and threat of sexual harassment. Only eight cases were reported pertaining to the sexual harassment in Peshawar even though this problem persists in entire country. Pakistan is categorized as the 57th country that is facing human resource management crises. The pay scale is very pathetic but still they are working due to poor economic circumstances. Due to the worst behavior from their immediate seniors and supervisors, the nurses become emotionally exhausted and become very impolite and ruthless as a retaliation of the toxic behavior. Now the awareness programs are launched when Prime Minister Imran’s Performance Delivery Unit launched Prime Minister Citizens’ Portal “Awam ki Awaz” on 29th October 2018. This portal is a voice of the people. It will help resolve issues confronting disabled, overseas Pakistanis, women, minorities, investors, and politicians. 2. Literature Review 2.1 Despotic Leadership and Emotional Exhaustion According to the Erkutlu, H. (2018) “Leadership is the process of influencing followers to achieve the organizational goals”. Schilling (2009) is of the view that leadership phenomenon has been romanticized since its inception and its beneficial impacts on followers and organizations are the long lasting. Meanwhile Naseer et al., (2016) is of the view that leadership darker side is seriously overlooked which reflects the ugly face of leadership and aftermaths are exposed. Karakitapoğlu-Aygün and Gumusluoglu (2013) is of the view that leaders do not even exhibit the positive leadership behaviors all the time. The dysfunctional leadership or the darker side can never be concealed. The negativity of the leader has the deleterious effects on subordinates. To represent the negative side of the leadership certain other terms have been used like Ashforth, (1994) called it petty tyranny Tepper, (2007) said it to be the abusive supervision and Einarsen et al., (2007) named it tyrannical leadership or destructive leadership then Aronson (2001) called it to be the Despotic leadership. House and Howell, (1992) and Naseer et al., (2016) is of the view that despotic leadership is exercised by a leader who has the thirst of attaining supremacy and dominance. He is led by the self-interests they are literally manipulative, arrogant, bossy, obstinate and unforgiving with inflexible attitude. Schilling (2009) says that despotic leadership carries most of the negative traits of leadership. Even though in the area of political leadership it has been discussed vigorously however in the broad management and applied psychology it is in embryonic stage. To date, no study, to our knowledge, has contributed to an understanding of how despotic leadership relates to employees’ organizational deviance, despite the fact that leadership is one of the most influential predictors of employee workplace deviance (Tepper et al., 2009); thus, the first goal of this study is to address this much- untapped issue. The abusive leadership, tyrannical, narcissist and the worst one despotic leadership indulge the followers in psychological distress. The followers become exhausted while combating with the negativity of the leadership feel suppressed and helpless. Blau, (1964) gave the concept of social exchange theory for interpreting the reciprocal behavior of the followers. Emerson, (1976) narrates that social exchange is based upon give and take between the parties and demand mutual obligation. The exchange process is two way and is dependent on the behavior of each party. The negativity begets negativity and trust worthy; dedicated and shared obligations beget the same in response. Emerson, (1976) is of the view that individuals should comply with norms of reciprocity. The principles of exchange form the ideology of exchange process. Based on the idea that every action has a reaction based upon the nature of action either it is based on the positivity or negativity. If the actions are based on evil deeds the recipient will react accordingly. Cropanzano and Mitchell, (2005) are of the view that according to the social exchange theory the organizational behaviors of employees are reliant or conditional upon the kind of the treatment they get from their immediate and organizational managers. In compliance with the reciprocity norm the subordinates reciprocate the ethical leader by demonstrating high level of commitment and trust. However, when the agents of the organizations treat them pathetically or in an obnoxious way, what good they can expect from span of control? They are dealt with the same poor narcissist and despotic way. Nobody treats them in a valued and respected manner and hence span of control show the work deviance (Lian et al., 2012; Tepper et Review of Economics and Development Studies Vol. 5, No 2, June 2019 271 al., 2009). De Hoogh and Den Hartog, (2008); Naseer et al., (2016) are of the view that despotic leadership is more toxic and it is low on ethical code of conduct, sensitivity, self evaluation, personal commitment and responsibility for ones action. Aronson, (2001); De Hoogh and Den Hartog, (2008) are of the opinion that despotic leaders are autocratic, more inclination towards controlling and they limit participation of subordinates in decision-making. Naseer et al., (2016) is of the view that despotic leaders exploit and treat unfairly their followers since they lack ethical values. That is because of this malfunctioning of leaders the span of control becomes less effective and least efficient so is their morale towards organizational progress. They legitimate their authority to satisfy their own objectives and followers react in a less cooperative way by becoming less focused deteriorating organizational functioning and making it difficult to meet organizational objectives. The reciprocal behavior is not directly directed towards the despotic leadership because offending authority is difficult to address they choose narrow escape by workplace deviance it means they are distracted about their work. Nauman .S (2018) is clearly of the viewpoint that emotional wear and tear is the result of pathetic leadership. Emotional exhaustion happens to consume more emotional resources to deal with interpersonal interactions than the normal circumstances moreover these resources deplete immediately. The aggressive, tyrannical, unethical and despotic leadership leads to severe repercussions for the subordinates like depression, anxiety and burnout. Despotic leaders are inconsiderate, autocratic and exploitative creating the stress and depression in subordinates and ignites the emotions of burnout. H1: There is a significant positive relationship between Despotic leadership and Emotional Exhaustion 2.2 Sexual Harassment and Emotional Exhaustion Hadi, A. (2018) defines sexual harassment as the gender based violence. The highest majority of victims are of the females but men may also be subjected to it. Sexual Harassment reflects the unequal distribution of power between the both genders and therefore couldn’t be separated from psychological or criminal offenses. Therefore, it is discussed under criminal law. The Pakistani society is patriarchal in nature that denotes a system of society where men controls the home, society and government as the head, ruler or descent is reckoned through the male line. In this, kind of the society women are subjected to violence, exploitation and discrimination. Sexual Harassment is a criminal act and is carried out or committed to control or to take charge of domination of male members over females. It is a means of intimidating and threatening women to limitize their social and physical mobility. Unluckily Sexual Harassment has become the compulsory ingredient of workplace. The Equal Employment opportunity Commission (EEOC) of United States Of America has defined sexual harassment as the unwelcome sexual initiatives, asking for sexual favors physical and oral conduct having inclination towards sexual context which is huge interference in workplace that is a basic reason of offensive or hostile work environment. According to the International Labor Organization, “Any unwelcome non verbal, verbal and physical conduct of sexual orientation that affects the self esteem of men and women which is offensive for the recipient as well. When if a person rejects or does not surrender is implicitly or explicitly affecting the job of such a person. It is a sheer humiliating, hostile or intimidating working environment for the victim. Therefore, it can be said categorically that this is a social control exerted by men over women to restrict their progress if they refuse the sexual advances. Based on the previous researches and conservation of resource theory the major reason of workplace stress is workplace aggression that deteriorates employee psychological resources. Strain and stress is the major outcome of fear of losing psychological resources, loss of resources or after the resource investment the inability to replenish resources. Resources are valued conditions, objects, energies, and personal resources that are means of attaining further resources that are valued and are strived to be obtained and preserved (Hobfoll 1989, 2001). Psychological depression and aggression is a job stressor that depletes and deteriorates affective and cognitive resources. When the resources are not replenished properly employees experience decreased level of poor work outcomes and well-being. After workplace aggression employees are left with insufficient level of motivational resources to act out the key behaviors at work. Extending therapeutic interactions with distressed employees may stop triggering aggression. No doubt, the loss of job occurs when the strain arising from the peer group psychological aggression outweighs the benefits of employment (Deery, S., 2011). Therefore, employees express their resentment of being sexually stabbed or harassed through emotional exhaustion. Friborg, M. (2017) quotes that various research reports highlight that sexual harassment has repercussions like job dissatisfaction, mental health problems and increased sick leaves and less interest in job. It also affects mental health of the employees as well. Researches depict that sexual harassment is mostly from the supervisors, subordinates and colleagues. Review of Economics and Development Studies Vol. 5, No 2, June 2019 272 H2: There is a significant positive relationship between sexual harassment and emotional exhaustion 2.3 Organizational Cynicism Serves as the Moderator between Despotic Leadership and Emotional Exhaustion Ozler, D. E. (2011) defines organizational cynicism as the depression in employees caused by the belief that organization is lacking integrity which when gets associated with intense negative emotions lead to disapproving decisive behavior. It is the belief organizational people are motivated by skepticism and self- interest. Employees confront many problems due to cynicism as they develop negative emotions regarding organizations such as disappointment, anger, hopelessness included by burnout syndrome defined as a series of emotions like fatigue, hopelessness, lost and despair. Therefore it is inferred that burnt out and cynicism are entangled observable facts. Ozler, D. E. (2011) is of the view that burnt out or emotional exhaustion is due to the organizational cynicism. Individuals with cynic views about their organizations start experiencing emotional exhaustion for the negative feelings they suffer from. Individuals with negative feelings slowly become cynic. In most of the convergent views, it has become evident that cynicism is the predictor of emotional exhaustion. Cynicism is the school of thought of ancient Greek. The followers of Socrates are the couple of firstly known cynics i.e Diogenes and Antisthenes of Sinope. The mere belief is that social norms are unessential for one’s self-sufficiency and independence. Refusing social institutions and tendency to adhere individualism is the ingrained idea of being cynic. Now the further development in the concept has proved it a personality trait rather than a lifestyle. Criticism has certain immediate negative components i-e hatred, outrage, disgrace and fatigue. Particularly, a sort of ceaseless pressure is experienced for the most part managing troublesome individuals and emotional exhaustion develops as a response to this chronic strain. Overstrain, low confidence, absence of concentrating on an issue, depletion in physical and enthusiastic capacities and depersonalization are among the most critical impacts of emotional exhaustion in people. Low occupation execution, high turnover, diminishing hierarchical duty and employment fulfillment, high wellbeing costs, and diminishing imagination, critical thinking and advancement are of the negative impacts of emotional exhaustion in organizations. Erkutlu, H., & Chafra, J. (2017) has the vigorous insight about the organizational cynicism. According to him, organizational cynicism is simply an unconstructive behavior towards ones organization consisting of three major dimensions: unconstructive outcomes for the organization, the faith that my organization is lagging behind in uprightness and inclination towards significant disapproving attitude towards their organization, which is unswerving in nature (Dean et al., 1998). The attitude is equipped by hopelessness, annoyance, disenchantment and disrespect towards ones company and strong faith that organization lacks integrity. Neves, (2012) is of the view that mangers are the true agents of the firms and when the misalignment is detected in the practice and preaching employees face the organizational cynicism. Egoistic mangers are deficient in uprightness is proved in empirical and theoretical researches. Moreover, the egoistic behavior is negatively associated with the integrity of organizational settings. Mangers’ egoism abolishes integrity in the organization. Kets de Vries and Miller, (1985) are of the view that egoistic mangers fail to accept the fact that they have committed the mistakes. Rhodewalt et al., (2006) presented their opinion about narcissistic and tyrannical leaders as they are self-conceited and they consider themselves, as they are a source of all the successes of organization. Despotic leaders are tyrannical, oppressive, dictatorial, repressive, cruel and suppressive. Their self gratifying rather hedonistic goals are to deceive, manipulate and exploit others. The destructive leadership lack in moral sensitivity since their first priority is their self only. Their selfish attitude stuck in the way of visionary ethical goals instead of dedication for the organization. Based on the underlying principle it can be inferred that toxic, unethical, pretty tyrant and despotic leaders have low behavioral integrity towards organization as a result subordinates develop the negative perception about leaders resulting in organizational cynicism. Due to the ever-changing temperament of workplaces the exceptional, sort of the expectations are made from the employees. These demands have made serious nature of the pressures on employees’ minds and souls as a result employee’ deleterious psychological health conditions are reported. The chronic mental health conditions of employees have the hazardous impact on organizational effectiveness. Through various convergent viewpoints of authors, it has been reported that employees who work under stressful circumstances suffer from loss of confidence, emotional exhaustion, anxiety & depression. Therefore, the despotic attitude is typically unethical in nature. Destructive leadership believes in personal gains and disrespects followers and lacks the empathy. The motive to exploit others is their top priority. The consistent preoccupation with one self depicts lack of moral sensitivity. The counterproductive job attitude is the repercussion and reflection of destructive leadership. Since the access towards the despotic leadership is difficult, therefore due to uneasy approach towards the mangers the subordinates feel themselves less important for the leaders. Erkutlu, H., & Chafra, J. (2017) are of the view that no doubt destructive leaders are a source of disrespect and disgrace for the employees. This disrespect and disgrace is very much enough to emotionally discharge the span of control and Review of Economics and Development Studies Vol. 5, No 2, June 2019 273 they get their emotional resources depleted that are difficult to be replenished. In the absence of organizational integrity, this exhaustion is increased. It is a condition of worn-out and drained due to accumulated stress from work life. H3: Organizational Cynicism Serves as the Moderator between Despotic Leadership and Emotional Exhaustion 2.4 Organizational Cynicism Serves as the Moderator between Sexual Harassment and Emotional Exhaustion Özler, D. E. (2011) clearly depicts that emotional exhaustion is the start the centre and fundamental component of burnout syndrome. The most highlighting component burnout is the consequence of job stress. The workers whose emotional demands are not compatible to the emotional demands of their supervisors have more tendency of being victimized by emotional exhaustion. Emotional exhaustion is a reciprocal reaction of demeaning action. Whenever there is emotional, disturbance or exhaustion the concentration on job is simply impossible. Whenever the staff becomes emotionally tired and consumed this lack of energy is reflected in emotional exhaustion. Whenever there is emotional fatigue the employee performance is not up to the mark. Rather the next working day becomes a burden due to the feeling of tension and anxiety. The outcomes of emotional exhaustion are absenteeism, being late to work, the psychosomatic complaints & turnover intentions etc. After going through the rigorous literature review, it may be concluded that there is a strong association between the organizational cynicism and emotional exhaustion. The feeling of depersonalization is the result of emotional burnout and is known as cynicism. There are convergent viewpoints in the literature about the relationship between organizational cynicism, organizational justice, psychological contract breach, organizational politics, perceived organizational support, staff doesn’t observe work, organizational commitment, emotional exhaustion and alienation. There are adverse effects of cynicism like lack of concern, hostility, lack of trust on others, misery, despising, frustration and irony which is related to lower job performance, staff circulation with quickness, conflicts among people, absenteeism and emotional exhaustion. Cynicism has the repercussions on the organizational efficiency. Organizational citizenship has the inverse relationship with organizational cynicism while on the other hand organizational cynicism has the positive relationship with alienation and emotional exhaustion. Johnson, J. L (2003) put an insight into the theory of social exchange theory people want to have a fair and impartial relationship with the firms. Upon the violation of psychological contract, the relationship between employees and employers become unbalanced. The poor outcomes of psychological contract breach are declined commitment, performance, contributions and increased turnover intentions. As a result, duties are neglected and poor organizational citizenship behaviors are emerged. Employee withdrawal behavior is the ultimate voluntary reaction to elongate the psychological and physical distance with the firms, as employees perceive that organizational situation is very inadequate. Violation of psychological contract has the adverse effect on employees and organizations with reduced beneficial behaviors towards organizational citizenship behavior and increased turnover intentions. When sexually harassed, employees feel emotionally drained and it becomes aggravated when there is the unconstructive behavior towards the organization. H4: Organizational Cynicism Serves as the Moderator between Sexual Harassment and Emotional Exhaustion Figure 1 Review of Economics and Development Studies Vol. 5, No 2, June 2019 274 3. Methodology The present research investigated the moderation model of sexual harassment, despotic leadership with emotional exhaustion with organizational cynicism as the moderator in a cross sectional sample of about 350 nurses working in various governmental hospitals in Multan, Bahawalpur and Muzaffargarh. Looking into the fragility of the research predictors like sexual harassment and despotic leadership the hospitals had really given a very tough time to the researcher to find out the primary information. In certain conditions researcher had to seek the formal permission to get the questionnaire filled from the nurses. There were certain hospitals that had the reservations about the research and wanted the researcher not to reveal their names even though the anonymity of the respondent (nurses) were maintained. The criteria to tap the nurses was that at least sic\x months must be the job experience since sexual harassment is not the one time job it is repeated and consistently pursued to satisfy the needs of the perpetrator. Using the purposive sampling and the causal survey research design 370 nurses were chosen to get the questionnaires filled. Out of which 350 useable questionnaires were used to conduct research data analysis. 3.1 Despotic leadership De Hoogh and Den Hartog (2008) devised a a six-item scale. The target sample respondents were asked the questions like “My leader acts as a tyrant, imperious (dictator) and despotic” and “He expects from those who report to him the unquestioning obedience” 3.2 Organizational cynicism Brandes, Dharwadkar, and Dean (1999) as cited in Kim, Bateman, Gilbreath, & Andersson, 2009) measured organizational cynicism using the 5 items .An example item for this scale is “I believe top management says one thing and does another”. 3.3 Sexual Harassment Fitzgerald et al. (1988) developed the Sexual Experiences Questionnaire (SEQ), a self-report inventory representing the first attempt to assess the prevalence of sexual harassment in a manner that met traditional psychometric standards. 3.4 Emotional Exhaustion The “Maslach Burnout Inventory General Survey” developed by Maslach and Jackson (1981) measures emotional exhaustion. It comprises of five items scale like to measure the emotional exhaustion of employees (e.g. I feel emotionally drained from my work). 3.5 Control Variables This study is meant to inquire about the relationship between sexual harassment and emotional exhaustion, despotic leadership and emotional exhaustion with the moderating role of organizational cynicism. Demographic variables are controlled in this study as the extraneous variable. Where age is considered as the continuous variable and gender is considered as the categorical variable. This study is meant to investigate the association between workplace bullying, emotional exhaustion, employee engagement and employee performance. The demographic variables are not primarily a focus of study in this study. Therefore, to rule out any impact of these demographic variables they are controlled. In demographic parameters the age is considered as a continuous variable, gender is supposed to be a categorical variable in research and employee job tenure for the years of services is categorized as continuous variable. 4. Data Analysis Before going towards testation of hypothesized relationships, preliminary data analysis is performed. For this purpose, BM SPSS Amos version 22 was used for data screening through missing value analysis, univariate outliers, normality analysis, descriptive statistics, reliability analysis, and correlation. The results of these tests provided the evidence of distinctiveness of the data sheet and as well as variables to run subsequent analysis. Data was analyzed to show the impact of despotic relationship and sexual harassment on emotional exhaustion in the presence of moderation effect of organizational cynicism. 4.1 Confirmatory Factor Analysis Structural Equation Modeling (SEM) technique was used to test the hypotheses by employing confirmatory factor analysis (CFA) of each variable by using AMOS version 22 (Tabachnick & Fidell, 1996; Tabachnick & Fidell, 2007). An Acceptable measurement model is developed to define the observed variables in terms of latent variables i.e. exogenous and endogenous. Here, a best fit measurement model is modified to represent the hypothesized theoretical framework by correlating each latent variable with every other latent variable freely. According to Brown’s (2006), a criterion that is majorly used for the identification of the model fit is through Review of Economics and Development Studies Vol. 5, No 2, June 2019 275 different model fit indices (Harrington, 2009). The results of CFA four factor model indicated that absolute indices fit better with the data comprises root mean residual (RMR) = 0.90 ,chi-square minimum difference (CMIN) = 3.14 , comparative fit indices (CFI) = 0.96 , IFI (incremental Fit Index) = 0.05, TFI (Tucker Lewis Index) = 0.95, and root mean square error of approximation (RMSEA) = 0.05. The results claim adequate fit in the form of values within acceptable range (Kline, 2005; Hu & Bentler, 1999; Harrington, 2009). Table 1: Fit Indices of CFA Sr. Goodness of fit indices Abbreviation Acceptance Criteria Initial Model Re-specified Model 1 Relative-Chi square CMIN/DF Poor fit: > 5 3.67 RF 3.14 Reasonable Fit 3-5 Best Fit: 1-3 2 Comparative- Fit Index (CFI) Poor fit: < 0.90 0.92 RF 0.96 Reasonable Fit ≥ 0.90 Best fit: ≥ 0.95 3 Root Mean Square Error of Approximatio n RMSEA Poor fit: > 0.1 0.08 RF 0.05 Reasonable Fit .06 - .08 Best Fit: < 0.05 4 Tucker Lewis Index TFI Poor fit < 0.90 0.81 PF 0.95 Reasonable Fit > 0.90 Best fit: > 0.95 5 Incremental Fit Index (IFI) Poor fit < 0.90 0.72 PF 0.90 Reasonable Fit > 0.90 Best fit: > 0.95 6 Root Mean Residual (RMR) Poor Fit > 0.05 0.07 PF 0.05 Best Fit < 0.05 Initially, some values of CFA measurement model did not demonstrate adequate model fit due to having 3 items of sexual harassment whose factor loadings were greater than 0.40, but after removing those items i.e. SH11, SH12 and SH18, the final model of CFA yielded an adequate model fit as shown in figure I. Moreover, poor model fit with latent variable indicates the presence of common method biasness (Bagozzi and Yi, 1990; Podsakoff et al., 2003), but results certify the absence of common method variance in our data set. To make it ensure, significance of the structural parameters is scanned with and without the common latent methods variance factor to see whether adding it would significantly improve the model fit. Findings declared that the influence of common method variance did not appear to be a major concern in this study. Similarly, means, standard deviations and correlations of variables is presented in Table II. The alpha coefficients for each variable are also shown in table III such as DL= 0.75, EE= 0.76, SH= 0.88, OC= 0.81. In addition, table III also presents the threshold values of average variance extracted and squared correlation. The results claimed that despotic leadership (DL) is positively and significantly correlated with emotional exhaustion (EE) as (r = .614, p < 0.01). Similarly, sexual harassment (SH) is also positively and significantly related with emotional exhaustion (EE) as (r = .504, p < 0.01). Figure 2: Measurement Model Review of Economics and Development Studies Vol. 5, No 2, June 2019 276 These results are consistent with our expectations based on the hypotheses outlined earlier. Hence, results claimed the acceptance of hypothesis 1 and 2. Table 2: Mean, Standard Deviation and Correlation **Correlation is significant at the 0.01 level (2-tailed), **Correlation is significant at the 0.01 level (2-tailed) Table 3: Reliability, Average variance extracted and Squared Correlation Variables Squared Correlation Reliability AVE DL EE SH OC DL 0.75 0.54 1 EE 0.76 0.61 0.369 1 SH 0.88 0.60 0.461 0.349 1 OC 0.81 0.58 0.313 0.358 0.414 1 4.2 Moderation Analysis Table IV contains the results of three step moderated regression analyses. In step 1, independent variable and dependent variables were controlled. In step Step 2, independent and moderated variables were controlled and in step 3 interaction term of independent and moderated variable was added. Table 4: Moderation Analysis of Organizational Cynicism DV = Emotional Exhaustion R2 Adjusted R2 F value Standardized β Coefficient Model 1: Effects of despotic leadership (DL) and organizational cynicism (OC) Step 1 DL 0.377 0.376 223.650 0.616*** Step 2 DL OC 0.460 0.457 156.785 0.454** 0.329*** Step 3 DL OC Int.DL_OC 0.461 0.456 104.478 0.421*** 0.426** 0.244** Model 2: Effects of sexual harassment (SH) and organizational cynicism (OC) Step 1 SH 0.354 0.351 125.319 0.504*** Step 2 SH OC 0.391 0.388 118.280 0.388*** 0.414*** Step 3 SH OC Int.SH_OC 0.463 0.462 78.683 0.362** 0.471** 0.182** Using moderated regression, it is found in model 1 that despotic leadership significantly and positively interacts with organizational cynicism to predict emotional exhaustion (β = .244, p<.01). Similarly, the simple slopes analyses also demonstrates that the effect of despotic leadership on organizational cynicism (β = .329, p<.01) and emotional exhaustion (β = .616, p<.01) was significant (Table IV). Indeed, the plotted interaction (Figure II) shows that at high levels of despotic leadership, employees who participated in high levels of organizational cynicism experienced high levels of emotional exhaustion compared to employees who participated in low organizational cynicism. Review of Economics and Development Studies Vol. 5, No 2, June 2019 277 Figure 3: Interactive Effect of Despotic Leadership and Organizational Cynicism on Emotional Exhaustion Using moderated regression, it is found in model 2 that sexual harassment significantly and positively interacts with organizational cynicism to predict emotional exhaustion (β = .244, p<.01). Similarly, the simple slopes analyses also demonstrates that the effect of sexual harassment on organizational cynicism (β = .421, p<.01) and emotional exhaustion (β = .426, p<.01) was significant (Table IV). Indeed, the plotted interaction (Figure III) shows that at high levels of sexual harassment, employees who participated in high levels of organizational cynicism experienced high levels of emotional exhaustion compared to employees who participated in low organizational cynicism. Figure 4: Interactive Effect of Sexual Harassment and Organizational Cynicism on Emotional Exhaustion 5. Conclusion The workplace harassment laws for women are even though introduced in Pakistan but their implementation is not up to the mark. The protection against harassment of women at workplace Act, 2010 Section 2(h) implies to request for sexual favors, any unwelcome sexual advance other written or verbal communication, sexual demeaning and physical conduct of sexual nature which cause interference with job performance creating intimidation, offensive and hostile work climate. This law addresses to that complainant who refuses to comply to such a request and for whom this act is made a condition for employment. The section 3 of Harassment Act 2010 emphasize that every organization should constitute an Inquiry Committee to inquire about the complaints made against workplace harassment. Total three members shall constitute the committee where third member should be a woman. If the person is found guilty of workplace harassment the following penalty under Section 4 of protection against harassment act 2010 with certain minor punishment as stopping promotion temporarily or to major one as removal from the job. This Act may be called the Criminal Law (Amendment) Act, 2009. There is a need to amend the Pakistan Penal Code, 1860 and the Code of Criminal Procedure, 1898 in which section 499 is about defamation of modest females ,503 is criminal intimidation to females, 509 is about insulting modesty or causing sexual harassment. The accused person shall be punished with imprisonment that may extend to three years or fine up to five hundred thousand rupees or with both .This amendment will not only make the public and work environment safer for women but it will open up the path for more women to pursue livelihood with dignity. It will reduce poverty as more and more women will get the courage to enter the job market. Review of Economics and Development Studies Vol. 5, No 2, June 2019 278 Minister for women development Punjab, Hameeda Waheeduddin explains that the most important aspect under the new bill is the implementation of the rescue and protection system. “Everything will be under one roof,” Waheeduddin explains. As an initial step, the Punjab government is establishing Violence Against Women Centers (VAWC) across the province. These will be one-stop operations where women will be taken through the process of filing a First Investigation Report (FIR), provided medical help and if required, shelter. For the kids and adults the voice for sexual oppression is raised nowadays and awareness is disseminated to call 1099 for protection against sexual victimization. The main problem is that females are still working with the mindset “Never raise the voice against harassment that is going to disrupt their job and spoil their working environment. Since jobs are rare in Pakistan females feel especially in health sector and academia that loosing job is the ultimate source of poverty. The harassment in job is considered to be the part and parcel of job therefore tolerance is considered to be duty for females. This Act requires all public and private organizations to adopt an internal Code of Conduct and a complain/appeals mechanism aimed at establishing a safe working environment, free of intimidation and abuse, for all working women. Managerial influence in the form of despotic leadership is a curse for span of control. Therefore, organizations must introduce some workshops and religious lectures to train the mangers psychologically and religiously. Emotional exhaustion is a trauma after the tolerance of abusive supervision and sexual harassment. It needs psycho-social counseling or medical treatment and for additional medical leave. 6. Managerial Implications Sexual Harassment is a phenomenon in Pakistan, which is in embryonic stage to be dealt with. The number of the females is victimized and they feel that since it is a part of their jobs therefore it should be tolerated. This result in emotional exhaustion and the positive energies are curbed down. The fruitful outcomes from the females are impossible to be achieved if this chronic disease in the organizations is not diagnosed and treated. The managers in the organizations should believe in integrative justice. The culprits must be identified and should be recognized as symbol of shame in working environment. The subjective norms must be properly adhered in organizations as well. The silent check in organizations like surveillance cameras must be introduced in the organizations. As per law the constitution of women harassment committees should be made mandatory. 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