Sustaining Talent: The Role of Personal Norms in the Relationship Between Green Practices and Employee Retention

Abstract

Amid growing sustainability demands, limited research explores how green organizational practices influence employee retention through personal norms. In the Chinese manufacturing sector, where talent retention is increasingly critical amid environmental challenges, this study examined the relationships between green shared vision, green corporate social responsibility (CSR), green psychological climate, and green human resource management (HRM) with employee retention, mediated by personal norms. A quantitative research design was adopted, collecting survey data from 263 employees working in the Chinese manufacturing sector. Structural equation modeling (SEM) using Smart PLS tested the direct and mediating effects of personal norms on the relationship between green organizational practices and employee retention. The results reveal that green shared vision and green CSR significantly enhance personal norms, which positively impact employee retention. Personal norms mediate the relationships between these two practices and retention. However, green psychological climate and green HRM show no significant direct or mediated effects on personal norms and retention, suggesting the need for additional contextual alignment to enhance their effectiveness. Organizations should integrate sustainability into their strategic vision and CSR activities to foster personal norms that drive retention. Efforts such as green communication campaigns, community-centered CSR programs, and targeted green HRM policies can strengthen employees’ alignment with organizational goals and reduce turnover. This study extends the theory of planned behavior (TPB) by demonstrating the role of personal norms as a mediator, providing fresh insights into the psychological mechanisms linking green practices to employee retention within China’s manufacturing context.

1. Introduction

Employee retention is a critical challenge in the manufacturing sector, significantly impacting operational efficiency, productivity, and long-term growth [1]. High turnover disrupts organizational stability, increases recruitment and training costs, and undermines the development of a skilled, committed workforce [2]. In the Chinese manufacturing industry, the turnover intention rate is projected to remain high at 20% in 2024 [3], driven by systemic issues such as low job satisfaction, limited career advancement opportunities, and intense competition for skilled labor in a rapidly modernizing industrial landscape. These structural challenges are compounded by evolving employee expectations, particularly among younger generations who increasingly value workplace fulfilment, environmental consciousness, and alignment with organizational values [4]. As such, retention in the Chinese manufacturing sector now demands not only financial incentives or career paths, but also deeper psychological alignment between employees and employers. To address these multifaceted issues, manufacturing organizations must adopt innovative and sustainable retention strategies, such as integrating green practices, redesigning roles to reduce monotony, and offering clear career progression pathways. Embedding sustainability into the organizational fabric provides a competitive edge in an increasingly dynamic labor market by meeting both the operational and ethical expectations of the modern workforce.

Consequently, green human resource management (GHRM) practices have emerged as a strategic approach for enhancing employee retention and promoting organizational sustainability—an increasingly important dual objective for China’s manufacturing sector. GHRM involves embedding environmental values into HR functions such as recruitment, training, and performance management, aligning the organization’s strategic goals with sustainability principles [4]. This integration helps organizations connect with the growing environmental consciousness of younger generations, who seek purpose-driven employment aligned with their personal values. Such alignment fosters job satisfaction and loyalty by addressing systemic issues like job dissatisfaction and value misalignment. For example, Shahzad et al. [5] demonstrated that HRM practices indirectly enhance organizational performance by promoting green innovation and employee behavior. Similarly, a green psychological climate—defined as employees’ perception of the organization’s environmental commitment—can shape pro-environmental behaviors that support sustainability goals [6]. In the Chinese manufacturing context, where employee expectations and labor market competition are evolving, GHRM and green climate practices offer a potential competitive advantage. However, the extent to which these green practices influence employee retention through internal psychological mechanisms remains insufficiently explored.

The relationship between green organizational practices and employee retention is not always direct and may be better understood through the mediating role of personal norms. Personal norms refer to an individual’s internalized moral obligation to act in ways that align with pro-environmental values and goals [7]. These norms are fundamental in shaping employee attitudes and behaviors toward sustainability initiatives [8]. In manufacturing environments, where retaining talent is critical, personal norms may operationalize green values by fostering stronger engagement and organizational commitment [9]. Employees guided by personal norms often perceive greater moral alignment with organizational goals, which enhances satisfaction, loyalty, and retention [10]. Despite the increasing focus on green HRM and sustainability, few studies have empirically investigated how personal norms mediate the relationship between green practices and retention, though recent conceptual work has highlighted its significance [11,12]. This study addresses that gap by examining how internalized moral values translate organizational sustainability efforts into employee-level outcomes.

The present study advances the literature on green organizational practices and employee retention by offering three key theoretical and practical contributions. First, it extends prior research—which has predominantly focused on the direct effects of green practices—by identifying personal norms as a critical psychological mechanism mediating the relationship between green practices and retention. This mediation clarifies how organizational sustainability initiatives translate into employee-level outcomes, addressing calls for deeper exploration of the “black box” linking environmental strategies to workforce behavior [13]. Second, it contextualizes this mediation within China’s manufacturing sector, a critical yet understudied setting for sustainability research despite its role as the backbone of the nation’s economy. By demonstrating that green practices (e.g., shared vision, CSR) strengthen employees’ personal norms (internalized moral obligations to act sustainably), the study bridges a gap in literature that has overlooked the interplay between the industrial context and individual-level sustainability behaviors. Third, the findings provide actionable insights for organizations seeking to align environmental and workforce goals. For instance, embedding sustainability into the strategic vision and CSR activities not only enhances retention but also operationalizes the United Nations’ Sustainable Development Goals (SDGs). Finally, the study contributes to theory development by integrating the theory of planned behavior (TPB) with the sustainability literature, demonstrating that personal norms mediate the effects of green practices on retention. Together, these contributions highlight the importance of institutionalizing green initiatives not just as measures of environmental compliance but also as strategic tools to promote workforce stability and long-term organizational resilience in sustainability-oriented markets.

2. Theoretical Background and Development of Hypotheses

2.1. Theory of Planned Behaviour

Based on the theory of planned behavior (TPB), this research framework describes a model of behavior formation and enactment process at the individual level in organizational settings. According to the TPB of Ajzen [14], individual behavior is directly shaped by behavioral intentions, which are determined by three factors: (1) attitudes toward the behavior (an individual’s positive/negative appraisal of actions), (2) subjective norms (perceived social pressure to act), and (3) perceived behavioral control (confidence in one’s ability to act). Employees’ intentions for implementing green practices at the workplace are based on their attitude toward the environmental initiatives, their belief in the organizational and/or peer expectations, and their self-efficacy in implementations.

However, organizations can systematically enhance these determinants through green practices, such as creating an environmental vision within the organization, engaging in CSR initiatives, developing a green psychological climate, and implementing green HRM policies (sustainability training, eco-friendly incentives, etc.). Organizations strengthen their employees’ intentions to behave pro-environmentally when workplaces align their systems and culture with sustainability goals and therefore create a greater likelihood that employees will engage in behavior that is congruent with the organization’s sustainability goals.

This framework expands the TPB by introducing personal norms, internalized moral obligations based on personal values [15], as a key mediator between green organizational practices and employee retention. This process activates personal norms in employees when they realize that their own environmental values are in line with their organization’s true commitment to sustainability. So, when green practices (e.g., transparent CSR reporting, meaningful eco-initiatives) indicate authentic environmental stewardship, employees who hold strong pro-environmental values have a sense of moral alignment.

This alignment triggers affective commitment—an emotional attachment to the organization [16]—which enhances job satisfaction and reduces turnover intentions. Empirical studies (e.g., [17]) demonstrate that employees whose personal values resonate with organizational sustainability efforts exhibit heightened affective commitment, as green practices validate their self-concept and fulfil intrinsic ethical motivations. Thus, personal norms act as a psychological bridge: they convert organizational green initiatives into emotional loyalty, ultimately fostering retention.

The integration of the TPB with personal norms theory can yield a more nuanced understanding of the impact of sustainability initiatives on retention. First, it clarifies the cognitive–behavioral pathway (attitudes → intentions → behavior) through which employees engage with green practices. Second, it emphasizes the importance of value congruence to trigger personal norms, which leads to affective commitment.

2.2. Development of Hypotheses

2.2.1. Relationship Between Green Shared Vision and Personal Norms

A green shared vision is defined as a long-term strategic orientation that integrates environmental sustainability into an organization’s overarching goals, offering a unified direction for employees [18]. This vision signals the organization’s values and motivates staff to participate in environmental practices that reflect those values. When this vision is perceived as genuine and embedded throughout the organization’s operations, employees tend to internalize these values as part of their personal beliefs [19]. Consequently, this leads to the formation of personal norms—deeply held moral obligations to support sustainability—especially when the organizational vision resonates with their own ethical priorities [8]. This alignment of organizational strategy and personal beliefs reinforces a sense of moral responsibility among employees to engage in behaviors that are consistent with environmental goals.

Based on the TPB [14], individual attitudes towards sustainability play a foundational role in shaping behavioral intentions. A well-communicated green shared vision can positively shape these attitudes and foster internalized moral standards—personal norms—that drive pro-environmental behavior. While subjective norms are shaped by perceived social pressures, personal norms reflect self-driven ethical standards influenced by organizational cues such as strategic vision. Within China’s manufacturing industry, where structured communication and hierarchical leadership dominate, a clearly articulated and consistent green shared vision can serve as a strong top-down motivator for embedding sustainability into employees’ values. Therefore, a green shared vision is expected to positively influence employees’ personal norms by strengthening the alignment between organizational commitment and individual responsibility.

Hypothesis 1.

Green shared vision is positively and significantly related to personal norms.

2.2.2. Relationship Between Green Corporate Social Responsibility and Personal Norms

Green corporate social responsibility (CSR) refers to an organization’s structured efforts to promote environmental sustainability by reducing its ecological footprint, supporting green initiatives, and investing in community-based environmental causes [20]. Researchers find green CSR to be very valuable for organizations, since it inculcates a sense of accountability and moral obligation [20]. When employees perceive that their organization genuinely cares about the society and the environment, they are more likely to internalize those values, aligning their own beliefs with the organization’s ethical stance and forming personal norms—deeply held moral obligations to act sustainably [21]. In the context of China’s manufacturing sector—where industrial operations are under increasing regulatory and societal pressure—green CSR can serve as a visible signal of ethical commitment, encouraging employees’ identification with sustainability goals. While traditional CSR often lacked environmental emphasis and was criticized for being superficial, green CSR emphasizes purpose-driven action, fostering stronger emotional and ethical alignment between the individual and the organization [8]. In this vein, green CSR plays a central role in inspiring personal norms that sustain pro-environmental behavior in employees.

Drawing on the TPB [14], this study presents a hypothesis in which green CSR contributes to the formation of personal norms. According to the TPB, behavioral intentions are shaped by attitudes, subjective norms, and perceived behavioral control. Green CSR initiatives—such as transparent reporting, carbon reduction policies, and employee-engaged eco-campaigns—can shape employees’ attitudes toward sustainability, reinforce perceived social expectations (subjective norms), and provide resources to enhance perceived behavioral control. Over time, these factors collectively contribute to the internalization of organizational values, resulting in personal norms that guide sustainable conduct. This psychological transformation is particularly vital in China’s competitive industrial labor market, where retention and environmental compliance are equally critical. By creating a socio-cultural context in which sustainability is valued and modeled, green CSR encourages employees to view environmental behavior as a moral imperative, thereby aligning their personal standards with organizational goals. We hypothesize the following.

Hypothesis 2.

Green corporate social responsibility is positively and significantly related to personal norms.

2.2.3. Relationship Between Green Psychological Climate and Personal Norms

Green psychological climate refers to employees’ perceptions of how organizational policies, leadership, and peer behaviors collectively support environmental sustainability [22]. According to Jansson et al. [23], when employees perceive that the workplace promotes sustainable practices, through policies, leadership, peer support, etc., the workplace becomes a critical context in which employees can internalize these values and develop personal norms related to their values. This kind of climate fosters a workplace in which employees feel that their contributions to environmental objectives are recognized and rewarded, in turn increasing their moral commitment to such objectives. There is another study showing that green psychological climate positively impacts employees’ pro-environmental behavior, since the sustainability efforts of an organization are perceived to be real and integrated into its mission [24]. Through effective demonstration of the alignment between organizational actions and employees’ perceptions, organizations can create a moral framework in which employees internalize environmental responsibility as an integral part of their job responsibilities, highlighting the need for a green psychological climate to facilitate the expansion of personal norms.

The TPB can help to explain the relationship between green psychological climate and personal norm. According to the TPB of Ajzen [14], subjective norms (that is, the perceived pressure from others to perform a behavior) are an important determinant of behavioral intentions. This positive psychological climate generated by the organization could contribute to subjective norms (i.e., perceptions of social pressure to perform a certain behavior) by creating a social and cultural context that supports sustainability. When employees observe their leaders and colleagues prioritizing environmental responsibility, they experience social and moral pressure to do the same. Similarly, green psychological climate may promote favorable attitudes among employees because they can see environmental sustainability as a challenging yet achievable goal. In addition, these attitudes and subjective norms are developing into more internalized personal norms by being activated and motivating one to fulfil a moral duty for the organization to achieve the corresponding goals in sustainability [25]. It is a green psychological climate that triggers such generation of internal norms, because it stimulates prosocial ecology-friendly proposed behaviors. On the basis of this empirical and theoretical underpinning, the following hypothesis is formulated.

Hypothesis 3.

A green psychological climate is positively and significantly related to personal norms.

2.2.4. Relationship Between Green Human Resource Management and Personal Norms

Green HRM refers to the integration of environmental sustainability into core HR functions such as recruitment, training, performance evaluation, and reward systems [26]. In addition, attitudes and norms can converge as the personal norms of green HRM on employees’ eco-friendly behavior [27]. For instance, organizations with strong environmental credentials through green recruitment attract employees with strong environmental values, and green training provides employees with the skills needed to participate in sustainability activities [28]. These HRM mechanisms shape a sustainability-oriented culture where environmental responsibility is internalized as part of the employees’ identity. When imposed through repeated organizational reinforcement via green HRM practices, employees tend to internalize sustainability as part of their ethical and professional responsibilities [8]. This synchronization helps the employees to view their contribution towards environmental goals as an ethical duty, which illustrates the crucial role played by GHRM in the development of personal norms.

The TPB explains how GHRM enhances employees’ personal norms through their influence on attitudes, subjective norms, and perceived behavioral control [14]. GHRM practices, like green recruitment (picking candidates with eco-conscious values), sustainability training (improving environmental knowledge), and performance incentives linked to eco-goals, foster positive attitudes toward sustainability by framing it as an organizational priority. At the same time, these practices form subjective norms by making sustainability an ingrained part of the workplace culture, with peers and leaders demonstrating by example and rewarding pro-environmental behaviors, creating social pressure to conform. GHRM further enhances perceived behavioral control by providing employees with the necessary tools (e.g., skills) that help them act in an environmentally friendly manner as well as increase their confidence to meet environmental goals. Through the process of internalizing organizational values, employees ultimately will develop attitudes and norms that ultimately converge into personal norms, namely “moral obligations to behave pro-environmentally” [29]. This transformation—where extrinsic motivators evolve into intrinsic, value-based commitments—is crucial in converting HR policies into deep-rooted personal norms. In this respect, GHRM implements the TPB model, linking corporate perspectives with the process of an employee’s psychological constructs to develop personal norms. Drawing on this theoretical integration, we hypothesize the following.

Hypothesis 4.

Green human resource management is positively and significantly related to personal norms.

2.2.5. Relationship Between Personal Norms and Employee Retention

Personal norms, defined as internalized moral obligations to act responsibly, play an important role in shaping workplace behaviors, particularly employees’ retention intentions [30]. Employees whose personal norms align with organizational sustainability practices report higher job satisfaction and organizational commitment [8], which are critical antecedents of retention [25]. Similarly, an employee with high personal norms concerning environmental issues of sustainability believes that he or she needs to add to the motivation of the green sustainability domain and so feels a strong sense of belonging to his or her organization [31]. Moreover, operationalizing an employee’s personal norms with organizational values provides an employee with the sense of belonging, which, as studies indicate, leads to a reduction in turnover intentions [25]. This illustrates how top-level personal norms are key in keeping talent in sectors where sustainability is receiving more importance.

As proposed by the TPB, it serves as a robust platform in establishing the relationship between personal norms and employee retention. According to the TPB, behavior is a function of intention which, in turn, is a function of attitudes, subjective norms, and perceived behavioral control [14]. The subjective norms are a part of the belief system that directs intention or behavior; personal norms are a part of subjective norms. Employees with strong personal norms believe they have a duty to modify their behaviors to align with the organization’s sustainability efforts, a fact that results in job satisfaction and organizational commitment. Intentions develop retention when employees feel that staying with the organization matches their ethical and professional goals [7]. That is, the newly formed subjective norms will be more reinforced by personal norms, which bind external norms to internal ones, thus forming a self-exciting process of commitment. By providing an explanatory model, this theoretical framework shows that retention is impacted by personal norms, which, in turn, develop a better alignment between employees’ and organizations’ values and practices. On the basis of this empirical and theoretical underpinning the following hypothesis is formulated.

Hypothesis 5.

Personal norms are positively and significantly related to employee retention.

2.2.6. Mediating Role of Personal Norms in the Relationship Between Green Shared Vision and Employee Retention

A green shared vision reflects an organization’s long-term commitment to environmental goals by embedding sustainability into its strategic direction [18]. Thus, they provide a much clearer sense of vision, which also motivates the workers to work in a manner that the organization wants them to perform. Certainly, a clearly communicated green shared vision also motivates employees to participate more in sustainability efforts [32], which indirectly influences turnover through personal norms. Personal norms are the glue that unites green shared vision and retention, as they are the internalized moral responsibilities that empower organizational employees to realign personal beliefs with organizational ethical actions. For example, in manufacturing settings where employee alignment is critical, such a vision helps employees internalize sustainability as a personal responsibility [19], which is associated with higher job satisfaction and intention to remain with the firm. This mediating mechanism highlights the importance of personal norms in aligning a green shared vision with retention outcomes.

The TPB posits that attitudes toward a behavior (e.g., staying with an organization) are shaped by beliefs about its outcomes [14]. A green shared vision fosters positive attitudes by aligning organizational goals with employees’ environmental values. A green shared vision promotes positive attitudes and personal norms, which serve as internal motivators for employees to stay [7], transforming abstract organizational goals into personal norms (internalized duties). These norms enhance job satisfaction and commitment, as employees view retention as a way to uphold their ethical identity. The TPB explains that attitudes (e.g., valuing sustainability) predict retention intentions, while personal norms act as the bridge between organizational vision and individual behavior.

Hypothesis 6.

Personal norms mediate the relationship between green shared vision and employee retention.

2.2.7. Mediating Role of Personal Norms in the Relationship Between Green Corporate Social Responsibility and Employee Retention

Green corporate social responsibility (CSR) represents an organization’s active commitment to environmental sustainability by minimizing harmful emissions and supporting ecological conservation efforts [20]. According to Kang and Sung [33], employees consider that green CSR practices represent the internal values of a firm, and thus they also feel engaged and involved. It has been evidenced through data that green CSR enables the personal norms of employees because it gives a sense of obligation to perform sustainable behaviors. In fact, personal norms influence job satisfaction [33] and organizational commitment [34], which are key to retaining employees. If employees want to identify with the organization they belong to and feel a sense of belonging, such organization-oriented green CSR initiatives, which are relevant to one’s self-concept, could be expected to produce an organization–employee match. Due to this mediating role of personal norms, this is where the significance of personal norms in translating green CSR perceptions into retention outcomes is manifested.

The TPB states that subjective norms reflect perceived social pressures to engage in behaviors (Ajzen, 1991 [14]). Green CSR initiatives (e.g., eco-friendly policies, community projects) signal societal and organizational expectations, creating a normative environment where sustainability is prioritized [33]. Employees internalize these external pressures as personal norms through norm activation theory [15], feeling morally obligated to support a socially responsible employer. This obligation fosters pride and loyalty, reducing turnover intentions. The TPB explains how CSR-driven subjective norms (e.g., “my peers expect me to stay in an ethical organization”) translate into personal norms, which directly motivate retention.

Hypothesis 7.

Personal norms mediate the relationship between green corporate social responsibility and employee retention.

2.2.8. Mediating Role of Personal Norms in the Relationship Between Green Psychological Climate and Employee Retention

A green psychological climate refers to employees’ beliefs about the organizational climate of the organization to promote voluntary environmental behavior [35] and the goals for sustainability. This sets an environment that builds on this sense of collective responsibility [22] and supports the belief within employees that their sustainability contributions matter and are appreciated. In this vein, a green psychological climate enhances the employees’ personal norms by instilling a sense of internalization to behave in an environmentally friendly manner. These norms strongly contribute to employees’ organizational commitment and lessen turnover intention, as they drive a stronger alignment between employees’ value formation and workplace practices. For example, if employees know the actual organization is actually oriented toward green initiatives, then they will internalize them as personal goals, which feasibly bind them to the organization and, thus, they will be willing to contribute to retention. It suggests that personal norms facilitate the process through which a green psychological climate provides its protective effect on employee retention.

In the TPB, perceived behavioral control reflects employees’ belief in their ability to enact behaviors [14]. A green psychological climate (e.g., supportive sustainability practices) enhances PBC by empowering employees to contribute meaningfully [22]. When employees feel capable of achieving environmental goals, they develop psychological ownership of sustainability outcomes, reinforcing personal norms as self-driven duties. These norms reduce turnover by aligning retention with employees’ autonomous goals. The TPB thus positions personal norms as mediators that channel perceived control (via climate) into retention intentions.

Hypothesis 8.

Personal norms mediate the relationship between green psychological climate and employee retention.

2.2.9. Mediating Role of Personal Norms in the Relationship Between Green Human Resource Management and Employee Retention

Green HRM also involves sustainable methodologies of the human resource process, including recruitment, training, performance evaluation, and reward systems, intended to make the organization harmonious with environmental goals [26]. According to Fawehinmi et al. [36], green HRM’s negative impact on the personal norms of employees is exercised through the incorporation of sustainability principles in employees’ work processes. Its green training programs, for example, improve employees’ awareness of environmental issues, providing them with a generative sense of social responsibility [37]. Similarly, reward systems that acknowledge green accomplishments help in those employees’ perceptions that they are doing their part and also the bigger picture in the organization and the environment. When these personal norms are consistently reinforced at the organizational level, they translate into higher job satisfaction [38], greater organizational commitment [39], and lower turnover intentions [40]. Green HRM shapes employees’ inner values and aligns them with the organization; therefore, personal norms mediate the relationship between green HRM and employee retention.

The TPB emphasizes that perceived control depends on resources and skills (Ajzen, 1991 [14]). Green HRM (e.g., training, eco-friendly rewards) equips employees with the knowledge and tools to act sustainably [26], enhancing their confidence to meet organizational goals. This empowerment fosters personal norms through reciprocity: employees feel obligated to repay the organization for supporting their values [25]. Retention becomes a transactional outcome of this reciprocity, distinct from identity or societal pressures. The TPB thus explains how HRM-driven control strengthens personal norms, which, in turn, reduce turnover.

Hypothesis 9.

Personal norms mediate the relationship between green human resource management and employee retention.

Figure 1 presents the research framework of this study.

3. Methods

3.1. Sample and Procedures

This study adopted a quantitative cross-sectional research design to examine the relationships among green organizational practices, personal norms, and employee retention. Data were collected through structured surveys administered to 263 employees working in nine manufacturing organizations located in Shandong Province, China. Shandong is one of China major industrial centers and provides a relevant setting to explore the sectorial implications of green policy implementation and talent retention in manufacturing. A purposive sampling technique was employed to select organizations that demonstrated a strong and visible commitment to environmental sustainability. This method enabled the researchers to deliberately target organizations engaged in green initiatives, such as sustainable production practices, national and global environmental certification, and the adoption of green HRM strategies. These criteria ensured the suitability of the sample for testing the hypothesized relationships and strengthened the contextual relevance of the study.

The study population included employees from various departments (e.g., operations, HR, production, R&D) and job levels (junior to managerial), providing diverse insights into how green practices influence personal norms and retention behavior. Participants were selected with assistance from human resource managers, who facilitated the survey’s distribution and introduced the study’s purpose to the staff. Participation was voluntary, and the respondents were assured of anonymity and confidentiality, with the right to withdraw at any stage of the study. This data collection procedure enhanced the reliability of the responses and ensured ethical research conduct. The resulting dataset offers a representative snapshot of employees’ perceptions in green-focused manufacturing organizations within Shandong, thus improving the generalizability of the findings to similar industrial contexts.

Table 1. Descriptive statistics.

	Demographic Characteristic	Percentage (%)
Gender	Male	47.5
	Female	52.5
Age	Below 26 years	19.0
	26 to 30 years	24.3
	31 to 35 years	25.5
	36 to 45 years	21.7
	46 to 60 years	9.50
Education level	Certificate	11.4
	Diploma	22.8
	Bachelor	33.1
	Masters	22.1
	Others	10.6
Job level	Non-executive	22.8
	Executive	28.5
Current organization	Below 1 year	17.5
	1 to 3 years	30.4
	3 to 7 years	35.9
	7 to 15 years	17.1

Source(s): authors’ own creation.

provides the demographic information about the sample analyzed and indicates that there was an equal representation of males (47.5%) and females (52.5%); most respondents (around 50%) were aged between 26 and 35 years (the biggest age groups were 26–30 years at 24.3% and 31–35 years at 25.5%); around 21.7% of respondents were between 36 and 45 years old, 19% were younger than 26 years old, and 9.5% represented the oldest age group composed of respondents between 46 and 60 years old. As for the education background of respondents, the majority (33.1%) had earned a Bachelors degree, 22.8% had earned a diploma, 22.1% were Masters degree holders, while 11.4% were certificate holders and 10.6% had other qualifications. Out of this sample, 28.5% were executives while 22.8% were non-executives. Looking at tenure, just over one-third had spent 3–7 years with their organizations (35.9%), the second largest cohort had been at their organizations for 1–3 years (30.4%), followed by those with less than a year (17.5%) and 7–15 years (17.1%). This analysis benefits from such a wide sample that captures employees of all ranks, experience, education, and positions.

3.2. Measures

A structured questionnaire with a five-point Likert scale (1 = strongly disagree, 5 = strongly agree) was used to assess all variables in this study at the individual perceptual level. Green shared vision was measured using four items adapted from [41]; green CSR, four items adopted from Shahzad et al. [42]; green HRM adopted six items from Dumont, Shen and Deng [26]; green psychological climate adopted five items from [43]; personal norms adopted four items from Onwezen et al. [44]; and employee retention adopted four items from [45]. Sample items are “There is a commonality of environmental goals in my organization” (i.e., green shared vision), “My organization participates in activities which aim to protect and improve the quality of the natural environment” (i.e., green CSR), “My organization sets green goals for its employees” (i.e., green HRM), “My organization is worried about its environmental impact” (i.e., green psychological climate), “I feel it is important that people in general protect the environment” (i.e., personal norms), and “I plan to stay with my present organization as long as possible” (i.e., employee retention). These measurements reflect employees’ personal perceptions of organizational practices and internal motivations, consistent with prior sustainability and HRM research. Please find all the scales’ items detailed in Appendix A.

In addition, four control variables—gender, age, education level, and organizational tenure—were included in the analysis. These variables were selected on the basis of previous research, suggesting their potential influence on employees’ perceptions and retention outcomes. For instance, age and tenure have been linked to stronger organizational commitment and lower turnover intentions, while gender and education level may affect how individuals perceive and respond to sustainability practices. Controlling for these demographic factors ensures that the observed relationships among green practices, personal norms, and employee retention are not confounded by these background characteristics.

3.3. Common Method Bias

This study has followed a few precautions and recommendations to control for common method bias (CMB) and to control for social desirability bias [46]. First, the respondents were told that their responses could not be correlated with individuals and that the data would only be used for research purposes. For example, measurements were also given on separate pages from each other, with clear instructions asking them to “read each statement carefully and answer as thoughtfully and honestly as you can, and these answers will be used for research purposes only increased and item ambiguity was reduced through defining unfamiliar terms and using specific questions” (Gerson, K. and Damaske, S., 2020 [47]), defining unfamiliar terms and using specific questions on a separate page.

Finally, to applty Harman’s single-factor method to test for the presence of CMB, we conducted a principal component factor analysis with all of the key constructs. This analysis was performed post hoc, after data collection, to determine whether a single factor accounted for a significant proportion of the variance in the data [48]. A single factor should explain at least 50% of the variance in the data [49]. One factor explained only 38% of the data variance. Standard method variance may be relatively small in this study.

4. Data Analysis

The study data were initially analyzed using SPSS Version 27.0 to derive missing values, outliers, means and medians, and standard deviations. Assumptions of normality were checked. There were no missing values and outliers for all data; the skewness value was between −2.214 and 0.289, and the kurtosis value was between −1.284 and 7.433. In contrast, the findings indicated non-normality, as there was a relatively minor distortion in estimating the model parameters and the standard deviation, as the absolute skew values were below 8 and the kurtosis was below 10 [50].

4.1. Descriptive Statistics and Correlations

The mean, standard deviation, and correlations of the study variables are presented in

Table 2. Mean, standard deviation, and correlations of the variables.

	Mean	SD	ER	GSV	GCSR	GSC	GHRM	PN
ER	2.975	0.910	1
GSV	3.225	1.016	0.370	1
GCSR	3.188	0.914	0.403	0.604	1
GPC	3.264	0.945	0.316	0.563	0.662	1
GHRM	3.222	0.25	0.314	0.554	0.598	0.619	1
PN	3.289	1.035	0.432	0.492	0.503	0.459	0.390	1

Note: GSV, green shared vision; GCSR, green corporate social responsibility; GPC, green psychological climate; GHRM, green human resource management; PN, personal norms; ER, employee retention.

. As can be seen in the correlation table, the variables all show significant positive relationships. There is a significant positive correlation of employee retention with green shared vision (r = 0.370), green CSR (r = 0.403), green psychological climate (r = 0.316), green HRM (r = 0.314), and personal norms (r = 0.432). In addition, personal norms have a modest correlation with green shared vision (r = 0.492), green CSR (r = 0.503), green psychological climate (r = 0.459), and green HRM (r = 0.390), which suggests its possible mediating effect on these relationships. All correlations are statistically significant at 0.01 or better, and personal norms work together to improve employee retention.

4.2. Structural Equation Modeling

The hypotheses were explored through a partial least squares structural equation modelling approach, based on the assumption suffering from data non-normlity. The hypothesis was then assessed using a bias-corrected 95% confidence interval (CI) to estimate the model for the process analysis, drawing on 5000 bootstrapping resamples. PLS-SEM includes two stages. The first is the measurement model specification to evaluate reliability and validity, and the second is the structural model assessment to test hypotheses.

4.3. Measurement Model Analysis Results

This study’s measurement model assessment (

Table 3. Measurement model assessment.

Constructs	Items	Loading	Cronbach’s Alpha	Composite Reliability (CR)	Average Variance Extracted
Green shared vision	GSV1	0.846	0.769	0.850	0.588
	GSV2	0.785
	GSV3	0.755
	GSV4	0.671
Green corporate social responsibility	GCSR1	0.768	0.729	0.831	0.552
	GCSR2	0.741
	GCSR3	0.750
	GCSR4	0.711
Green psychological climate	GPC1	0.696	0.792	0.857	0.546
	GPC2	0.779
	GPC3	0.760
	GPC4	0.779
	GPC5	0.675
Green human resource	GHRM1	0.723	0.817	0.867	0.522
	GHRM2	0.696
	GHRM3	0.702
	GHRM4	0.765
	GHRM5	0.682
	GHRM6	0.765
Personal norms	PN1	0.820	0.798	0.868	0.623
	PN2	0.771
	PN3	0.798
	PN4	0.766
Employee retention	ER1	0.688	0.691	0.811	0.519
	ER2	0.753
	ER3	0.714

Note: GSV, green shared vision; GCSR, green corporate social responsibility; GPC, green psychological climate; GHRM, green human resource management; PN, personal norms; ER, employee retention.

) provides information on the reliability and validity of the constructs. The factor loadings of all items across the scales ranged from 0.671 to 0.846 for green shared vision, 0.711 to 0.768 for green CSR, 0.675 to 0.779 for green psychological climate, 0.682 to 0.765 for green HRM, 0.766 to 0.820 for personal norms, and, finally, 0.688 to 0.753 for employee retention. All constructs had Cronbach’s alpha values above 0.70, indicating internal consistency. The range of composite reliability (CR) values, ranging between 0.811 and 0.868, confirmed the reliability of the constructs. The ranges of AVE (average variance extracted) that we achieved further support convergent validity, with values lying between 0.519 and 0.623.

The Fornell–Larcker criterion (

Table 4. Fornell–Larcker criterion.

	ER	GCSR	GHRM	GPC	GSV	PN
ER	0.720
GSCR	0.415	0.743
GHRM	0.339	0.597	0.723
GPC	0.331	0.658	0.615	0.739
GSV	0.400	0.604	0.554	0.567	0.767
PN	0.441	0.501	0.393	0.461	0.504	0.789

Note: GSV, green shared vision; GCSR, green corporate social responsibility; GPC, green psychological climate; GHRM, green human resource management; PN, personal norms; ER, employee retention.

) was used to examine the discriminant validity. Discriminant validity was established by all square roots of the AVEs for each construct being greater than the correlation with any other construct. For instance, the AVE square root of green shared vision (0.767) was greater than the correlation of green shared vision with other constructs such as green CSR (0.604) and personal norms (0.504). The discriminant validity was also supported by the HTMT criterion (

Table 5. HTMT criterion.

	ER	GCSR	GHRM	GPC	GSV	PN
ER	-
GCSR	0.577	-
GHRM	0.434	0.772	-
GPC	0.439	0.868	0.771	-
GSV	0.514	0.808	0.696	0.719	-
PN	0.585	0.651	0.482	0.575	0.619	-

Note: GSV, green shared vision; GCSR, green corporate social responsibility; GPC, green psychological climate; GHRM, green human resource management; PN, personal norms; ER, employee retention.

): all HTMT values were below the threshold, i.e., 0.90, so the constructs were different from each other.

In

Table 6. Structural model results.

Hypotheses	Relationship	β	SD	t Values	Decision
H1	GSV ≥ PN	0.275	0.082	3.333	Support
H2	GSCR ≥ PN	0.233	0.095	2.449	Support
H3	GPC ≥ PN	0.143	0.096	1.498	No support
H4	GHRM ≥ PN	0.013	0.092	0.146	No support
H5	PN ≥ ER	0.441	0.054	8.148	Support
H6	GSV > PN ≥ ER	0.121	0.040	3.014	Support
H7	GCSR > PN ≥ ER	0.103	0.046	2.217	Support
H8	GPC > PN ≥ ER	0.063	0.044	1.440	No support
H9	GHRM > PN ≥ ER	0.006	0.042	0.142	No support

Note: GSV, green shared vision; GCSR, green corporate social responsibility; GPC, green psychological climate; GHRM, green human resource management; PN, personal norms; ER, employee retention.

and Figure 2, the results of the structural model indicate that both green shared vision (H1) and green corporate social responsibility (H2) have significant positive effects on personal norms (β = 0.275, t = 3.333; β = 0.233, t = 2.449, respectively). On the other hand, green psychological climate (H3) and green HRM (H4) were not significantly correlated to personal norms (β = 0.143, t = 1.498; β = 0.013, t = 0.146, respectively), indicating that these motivational variables have to impose additional contextual and motivational conditions to tangibly impact employees’ personal norms.

Employee retention follows a strongly positive relationship with personal norms (H5: β = 0.441, t = 8.148), partially emphasizing their vital role in commitment. Furthermore, personal norms act as significant mediators with respect to the relationships between green shared vision and employee retention (H6: β = 0.121, t = 3.014), and green CSR and employee retention (H7: β = 0.103, t = 2.217). However, the mediation effects in the green psychological climate–retention (H8: β = 0.063, t = 1.440) and green HRM–retention relationships (H9: β = 0.006, t = 0.142) are insignificant. These results demonstrate the significance of GSV and GCSR in the formation of personal norms and the increase in retention, as well as the opportunities for GPC and GHRM in delivering these influences.

5. Discussion

The study highlights the role of individual norms as mediators between green organizational practices and employee retention in China’s manufacturing context. We find amplified effects of green shared vision and green CSR on personal norms and a positive effect of personal norms on retention. However, green psychological climate and green HRM had insignificant direct effects and mediated effects, which implies that commitment to green behaviors can be better roused when green practices are in line with fulfilling employees’ moral obligations. Both of these insights demonstrate that sustainability practices are not just aimed at environmental outcomes but can also be vital to retention when entering talent-tight markets.

The present study adds to the increasing body of literature focused on green organizational practices and employee retention by illustrating the strong effect of green shared vision (H1) and green CSR (H2) on personal norms. The findings are consistent with previous literature indicating that a common vision of sustainability reinforces employees’ pro-environmental beliefs and behavioral intentions [19], as well as internalized responsibility and commitment so that they experience alignment with organizational goals. In much the same manner, green CSR initiatives were shown to strengthen personal norms through highlighting organizational accountability and integrity commitments, thus aligning with employees’ values. These findings are consistent with previous studies, as they strengthen the theoretical model by supporting personal norms as a potential psychological mechanism, which links sustainable organizational activities to increased employee belongingness [31]. Personal norms reflect the values and identities of employees; hence, their alignment with green practices is essential for continued employee commitment. Embedding sustainability into organizational strategies is of practical importance.

In contrast, the nonsignificant effects of green psychological climate (H3) and green HRM (H4) on personal norms indicate the importance of contextual or implementation-based alignment for these practices to translate into internalized values. While previous studies [51] highlight the potential of green HRM and climate to shape pro-environmental behavior, our results suggest that unless these practices are meaningfully connected to employees’ moral frameworks, their impact on retention may be limited. This finding opens a path for future research to explore moderators or mechanisms that could strengthen this linkage, such as leadership support, participative design, or personal value congruence.

Moreover, the investigation substantiates the direct (H5) and indirect effect (H6, H7) of personal norms on keeping employees. Similar to other research that has also shown that personal norms strongly promote job satisfaction and organizational commitment [52], retention is driven by personal norms. The mediation analysis also suggests personal norms as an effective conduit through which green shared vision and green CSR translate into retention outcomes. This result extends the TPB by showing that attitudes and subjective norms develop personal norms, which, in turn, affect employees’ retention intentions. This contribution stresses the need to utilize psychological constructs to connect organization-level initiatives to employee-level effects, thus advancing theory and practice.

Green psychological climate (H8) and green HRM (H9) do not have significant effects on employee retention through personal norms, which indicates that these practices might need more contextual alignment or reinforcement to affect personal norms and thereby retain employees. Although past work points out the possibility of using them to increase pro-environment behavior [51], the present study found that they have little impact on personal norms, which, in turn, leaves retention high. Building on previous studies that support the positive influence of sustainability practices on employee outcomes, these results indicate that organizations need to systemize and deepen such efforts within their sustainability strategies in order to enhance their impact.

5.1. Theoretical Contribution

This research contributes to the TPB by positioning personal norms as an important mechanism that connects the comprehensive green behaviors of organizations to the retention of employees, which has remained relatively unexamined in prior literature. And although the TPB focuses on attitudes, subjective norms, and perceived behavioral control as determinants of behavior [14], our study shows that personal norms—internalized moral obligations that can flow from personal values—are the psychological mechanism that connect green practices with retention. Embedding sustainability in its strategic vision and CSR activities activates the intrinsic ethical motivations of employees and creates moral alignment between personal and organizational goals. This congruence leads to abstract corporate sustainability initiatives becoming internalized into personal norms and commitment, which creates an emotional attachment to the sustainability initiatives, impacting turnover intentions (Meyer & Allen, 1991 [16]). Green shared vision and CSR practices, for example, induce organizational authenticity by legitimizing employees’ self-concepts as environmentally responsible actors. This process opens the “black box” in the sustainability literature [13], illuminating how macro green strategies translate into micro employee behaviors. The study offers a dual-path framework, incorporating norm activation theory [15], showing both how green practices affect behavioral intentions (the TPB) but also through which mechanism these intentions are transformed into moral imperatives (personal norms), which then shape retention.

The second theoretical contribution is the contextualization of the role of green practices in the Chinese manufacturing sector, which is an important but underexplored context for sustainability research. While prior studies have focused on Western contexts or service industries, this research highlights how industrial modernization, labor market dynamics, and global ESG pressures uniquely shape the sustainability–retention nexus in Chinese manufacturing. For example, the insignificance of green HRM and the psychological climate in driving personal norms underscores the sector’s reliance on strategic-level practices (e.g., shared vision, CSR) over operational HR policies, a finding that challenges assumptions about the universal applicability of green practices. This contextual novelty bridges gaps in the literature that have overlooked the interplay between industrial environments (e.g., high turnover, skill shortages) and individual-level sustainability behaviors. Additionally, the study advances the discourse on the Sustainable Development Goals (SDGs) by demonstrating how green practices operationalize SDG 8 (Decent Work) and SDG 12 (Responsible Consumption) in manufacturing. By framing sustainability as both an ethical and strategic imperative, the research shifts the narrative from viewing green initiatives as compliance-driven costs to recognizing them as dual-purpose tools that simultaneously enhance environmental performance and workforce stability. This twofold perspective provides a template for future research to understand sustainability within sectors characterized as heavy and resource-rich, especially for developing economies struggling with issues of talent retention and ecological sustainability.

5.2. Practical Contribution

The implications of this study provide practical insight for practitioners looking to promote employee retention via sustainability. First, organizations can realize a green shared vision by defining the organizational commitment to ecological change and integrating it into the strategic objectives. Internal communications campaigns, executive sponsorships, and employee engagement programs that highlight the collective benefits of sustainability can help with this. Not only do these efforts align with the values of employees, but they also provide a purpose, increasing job satisfaction and company loyalty. Secondly, green CSR initiatives cannot be ignored. Corporations can strategize CSR activities in designs like community-centered reforestation initiatives, carbon-reducing schemes, or collaborative efforts with environmental non-governmental organizations. This is the kind of ethical commitment to sustainability that not only drives personal norms among employees but should also encourage retention via a strong organizational identity.

Last, practitioners should pay attention to developing a green psychological climate that enhances the policies that emphasize visible support of pro-environmental behavior at the workplace. Visible support for green initiatives through leadership behaviors, peer recognition, and rewards for sustainability behaviors can institute a culture of sustainability. Last but not least, green HRM practices must be in strategic alignment with environmental objectives. However, organizations can infuse sustainability within the recruitment process by attracting candidates with green values, deliver training programs to develop green competencies, and create performance appraisal systems to reward green contributions. Companies can reduce turnover by embedding sustainability into their HRM systems as commitment leads workers to find meaning in their work. In combination, these four actions give organizations the actions they can take to better operationalize green practices to improve environmental and workforce sustainability.

5.3. Limitations and Future Direction

This study is subject to limitations, which must be recognized in future research. To start with, the cross-sectional design prevents us from assigning causation to green organizational practices, personal norms, and employee retention. Longitudinal designs in future work may address the time lag between green practices and employee behavior, providing more definitive causal support. Second, the sample was analyzed in a single district, where the data were obtained from people of manufacturing organizations of Shandong Province, China, so we cannot generalize it to other regions or industries. Future studies may extend their scope to various kinds of geographic and industrial contexts, providing a better overview of how green practices relate to retention among varying organizational environments. Moreover, personal norms as a mediator are among the many psychological or contextual factors such as environmental passion or organizational trust that can be examined to nurture this relationship between green practices and retention.

Future research might also examine the moderators of the relationships assessed in the present study, for example, whether the strength of the relationships differ depending on cultural values or organizational size. In addition, although there were low direct influences of green psychological climate and green HRM on personal norms, more studies should explore how their implementation is enhanced to build their effects. For example, one could explore variables like leadership styles or perhaps organizational communication to better understand their influence on improving these behaviors and practices. Lastly, qualitative methods like interviews will help to obtain more information about employees’ perceptions and experiences regarding green practices, which can provide a more contextualized picture of their role in retention. This would not only fill existing gaps in the literature but would also help to inform integrative and effective green organizational strategies.