The Effect of Idiosyncratic Deals on Coworkers' Knowledge Hiding: A Moderated Serial Mediation Model

The essence of knowledge management involves the personalized management of talented employees who possess tacit knowledge. Unfortunately, non-standardized practices can lead to negative knowledge behaviors among coworkers, which can hamper beneficial knowledge interactions. This study aims to explore the underlying mechanism of idiosyncratic deals (i-deals) on knowledge hiding from the bystander perspective. We conducted a two-wave on-site survey of 321 knowledge-based employees in Kunshan Industrial Park, China. During the first wave, employees provided information regarding their perceptions of others' i-deals and ethical leadership. Two weeks later, employees reported their effort-reward imbalance (ERI), psychological distress, and knowledge hiding behaviors. To test our hypothesis, we used a hierarchical regression analysis with SPSS 26.0 and a path analysis with Mplus 7.4. The results indicate that (a) coworkers' perceptions of other employees' idiosyncratic deals (CPOEID) have an indirect effect on knowledge hiding via ERI and psychological distress; (b) ERI and psychological distress serially mediate the relationship between CPOEID and knowledge hiding; and (c) ethical leadership not only reduces the positive effect of CPOEID on ERI but also weakens the serial mediation effects of ERI and psychological distress between CPOEID and knowledge hiding. Our investigation, by using a cognitive-emotional processing system framework, provides a new theoretical perspective on the potential dysfunctionality of differentiated human resource management practices. Furthermore, our findings offer evidence for the compatibility of leadership and policy factors, as ethical leadership lessens the destructive effects of management practices.