Internal corporate social responsibility as a strategic tool for employee engagement in public organizations: Role of empathy and organizational pride

BACKGROUND: The macro-level corporate social responsibility (CSR) has been researched widely in recent years, however, micro-level CSR has recently gained attention. Employees are more influenced by employee related internal CSR initiatives than the external CSR activities. Internal CSR ensures favorable behavior of employees towards their employer which leads towards better organizational performance. OBJECTIVE: This study investigates the impact of internal corporate social responsibility (CSR) on public sector employees' engagement through Organizational Pride (OP). Further, the study considers moderating role of empathy between internal CSR and employee engagement (EE). METHODS: Quantitative research designwas developed and theoretical frameworkwas investigated through a survey of 430 employees of public sector in Pakistan. SmartPLS was used and partial least square structural equation modeling (PLS-SEM) was used for hypothesis testing. RESULTS: The results showed that the internal CSR directly influences EE. Secondly, the mediation of OP between internal CSR and EE is also supported. However, the results do not significantly support moderation of empathy between internal CSR and EE. CONCLUSIONS: Public sector organizations should actively contribute in employees well- being through internal CSR activities especially on skills development, work-life balance and employment stability. Public sector organizations lack in emotional and cognitive attachment with employees, and should pay attention to pride over organization through employee focused CSR activities.