A STUDY ON EXAMINING THE MEDIATING ROLE OF ORGANIZATIONAL CITIZENSHIP BEHAVIOUR TOWARDS THE ENVIRONMENT IN THE RELATIONSHIP BETWEEN GREEN CORPORATE SOCIAL RESPONSIBILITY AND ENVIRONMENTAL SUSTAINABILITY IN LISTED INDIAN BANKS
DOI:
https://doi.org/10.4314/njt.2026.6214Keywords:
Green Corporate Social Responsibility, Environmental Sustainability, Banking Sector, Partial Least Squares Structural Equation Modeling(PLS-SEM), Organizational Citizenship Behaviour Towards the EnvironmentAbstract
Due to the growing environmental concerns, the financial industry, especially banks, are increasingly regulated by environmental policies and are under pressure to develop Green Corporate Social Responsibility (GCSR) initiatives to promote sustainable development. Nevertheless, there is insufficient empirical data on the translation of GCSR into Environmental Sustainability (ES) using employee-based behaviours, especially in the Indian banking industry. This paper fills this gap by considering the mediating role of Organizational Citizenship Behaviour Towards the Environment (OCBE) in the relationship between GCSR and ES among the employees of the listed Indian banks. A quantitative, cross-sectional research design is adopted, where data is collected from 384 banking employees through a structured questionnaire based on validated measurement scales. A 5-point Likert Scale and SmartPLS 4 was used to analyze the data using Partial Least Squares Structural Equation Modeling (PLS-SEM). Cronbach's alpha, Average variance extracted and Composite reliability were used to assess the measurement model, discriminant validity was evaluated using the Fornell-Larcker and HTMT criteria. The structural model and the effects of mediation were tested using bootstrapping with 5,000 resamples. Moreover, a multi-group analysis (MGA) on gender was also done. The outcome represents that GCSR positively influences the Environmental Sustainability significantly and OCBE. Further, OCBE significantly influences Environmental Sustainability, and the indirect effect of GCSR on Environmental Sustainability through OCBE is statistically significant, indicating partial mediation. The model demonstrates moderate to substantial explanatory power (R²) and medium to high predictive relevance (Q²). Gender-based MGA indicates that the effects of GCSR on OCBE and Environmental Sustainability are stronger for male employees, while the OCBE-ES relationship remains consistent across genders. The findings affirm the hypothesis that employees' discretionary environmental behaviour is a critical psychological/behavioural process through which the benefits of organizational green initiatives can be achieved in terms of sustainability. The research paper adds to green CSR and sustainable banking literature because it links organizational-level responsibility with individual pro-environmental behaviour. The results highlight the need to integrate the values of green in leadership behaviours, employee training, and internal compliance policy to enhance the performance of banks in terms of environmental performance.
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