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This study intends to explore whether green transformational leadership is effective in promoting employee green performance. What role do moral reflectiveness and green crafting play in the impact of green transformational leadership on employee green performance?

This study collected research data from a series of questionnaire surveys using a multisource and time-lagged design. We collected 582 completed questionnaires from 97 groups in chemical firms.

The analysis showed that (1) green transformational leadership positively affected employee green performance and (2) moral reflectiveness and green crafting sequentially mediated the relationship between green transformational leadership and employees’ green performance.

The 2-1-1 multilevel mediation model clarified how the perspectives of leaders and employees are associated, confirming that green transformational leadership successfully promotes the green performance of subordinates through value communication and resource provision. Chemical companies need green transformational leaders passionate about environmental issues to encourage employee engagement in sustainability initiatives, ultimately enhancing employees’ green performance and achieving sustainable development of the chemical organization.

To examine the effect of pay‐for‐performance on distributive justice and the moderating effect of commitment performance appraisal in the case of Korean employees.

Data were collected from 28 companies and 656 employees. Moderated regression analyses were employed.

Findings show that pay‐for‐performance enhances employees' perception of distributive justice only when there is a commitment performance appraisal practice. Additional analysis shows that the commitment performance appraisal practices of a company influence employee perceptions of such practices in a U‐shape fashion.

Since, data were collected from 28 companies, the results may need to be modified before being generalized to/for Korean companies.

It is notable that only when accompanied by commitment performance appraisal does pay‐for‐performance enhance employee perception of distributive justice. Managers in Korean companies should consider implementing commitment appraisal practices when they want to utilize pay‐for‐performance.

This paper notes the fundamental changes in the pay systems in Korean companies, and offers practical implications for managers starting out on a pay‐for‐performance system.