Influence of Empowering Leadership to Employee Performance of Bank in Indonesia: Mediating Role of Trust in Manager

This article aims to investigate the role of trust in managers in influencing empowering leadership to employee performance. Drawing on a sample of 217 from bank employees in Indonesia, path analysis was employed to analyze the data. Firstly, the finds of a path analysis expressed that the influence of empowering leadership has a positive on trust in manager and employee performance. Furthermore, the study examined the mediating influence of trust in managers between empowering leadership and employee performance. The study shows that empowering leadership is not only applicable to Western culture, but it is also suitable in Indonesian culture. The study's limitations are the data have been collected from banking employees. This can cause to common method bias. In the banking case, empowering leadership can increase employee performance through trust in managers. Training should be prepared for bank leaders with a particular training on simplifying the behaviors of empowering them. The study on investigating the influence of empowering leadership on employee performance via trust in manager as a mediator variable is very limited.
Keyword: Empowering leadership; Trust in manager; employee performance; Indonesia