Digital Leadership, Digital Work Environment, and Job Satisfaction among Generation Z Employees: The Mediating Role of Work Engagement
Keywords:
Digital Leadership, Digital Work Environment, Work Engagement, Job Satisfaction, Generation Z
Abstract
Digital transformation has changed organizational communication systems, leadership practices, and employee work experiences, particularly among Generation Z employees who are highly familiar with technology and flexible working systems. This study aims to examine the influence of digital leadership and digital work environment on job satisfaction through work engagement among Generation Z employees. A quantitative approach was applied using a survey method involving 176 employees working in educational institutions, MSMEs, and service sectors. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings indicate that digital leadership and digital work environment positively affect work engagement and job satisfaction. Work engagement also significantly influences job satisfaction and mediates the relationships between digital leadership, digital work environment, and job satisfaction. Supportive digital leadership, flexible communication systems, and collaborative digital work environments strengthen employee enthusiasm, emotional attachment, and positive work experiences. The findings extend Job Demands–Resources Theory by emphasizing the role of digital organizational resources in improving employee psychological outcomes among Generation Z workers. Practical implications highlight the importance of adaptive leadership, technological support, and employee engagement strategies in maintaining job satisfaction in digital working systems.
References
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Schaufeli, W. B., Bakker, A. B., & Salanova, M. (2006). The measurement of work engagement with a short questionnaire: A cross-national study. Educational and Psychological Measurement, 66(4), 701–716. https://doi.org/10.1177/0013164405282471
Schroth, H. (2019). Are You Ready for Gen Z in the Workplace? California Management Review, 1–14. https://doi.org/10.1177/0008125619841006
Spector, P. E. (2012). Sage Academic Books Job Satisfaction : Application , Assessment , Causes , and Consequences. Sage Academic Books. https://doi.org/10.4135/9781452231549
Van Wart, M., Roman, A., Wang, X., & Liu, C. (2019). Operationalizing the definition of e-leadership : identifying the elements of e-leadership. International Review of Administrative Sciences, 0(0), 1–18. https://doi.org/10.1177/0020852316681446
Vayre, É., Morin-messabel, C., Cros, F., & Maillot, A. (2022). Benefits and Risks of Teleworking from Home : The Teleworkers ’ Point of View. Information, 13(545), 1–19. https://doi.org/10.3390/ info13110545
Wang, L., Zhou, Y., & Zheng, G. (2022). Linking Digital HRM Practices with HRM Effectiveness : The Moderate Role of HRM Capability Maturity from the Adaptive Structuration Perspective. Sustainability. https:// doi.org/10.3390/su14021003
Wang, S., Yang, Y., Yin, H., Zhao, J., Wang, T., Yang, X., Ren, J., & Yin, C. (2025). Towards Digital Transformation of Agriculture for Sustainable Development in China : Experience and Lessons Learned. Sustainability, 17, 3756. https://doi.org/ 10.3390/su17083756
Yulk, G. A. (2013). Leadership in Organizations (8th Editio). Prentice-Hall, Upper Saddle River.
Zeike, S., Bradbury, K., Lindert, L., & Pfa, H. (2019). Digital Leadership Skills and Associations with Psychological Well-Being. International Journal of Environmental Research and Public Health, 16, 2628. https://doi.org/10.3390/ijerph16142628
Bagis, F., Adawiyah, W. R., & Sudjadi, A. (2026). Examining the Role of Spiritual Leadership and Islamic Spiritual Well-Being in Mitigating Workplace Deviant Behaviour. Qubahan Academic Journal, 6(1), 395–408. https://doi.org/10.48161/qaj.v6n1a1860
Bakker, A. B., & Demerouti, E. (2017). Job Demands-Resources Theory : Taking Stock and Looking Forward. Journal of Occupational Health Psychology, 22(3), 273–285.
Bakker, A. B., & Demerouti, E. (2024). Job demands–resources theory: Frequently asked questions. Journal of Occupational Health Psychology, 29(3), 188–200. https://doi.org/10.1037/ocp0000376
Bennett, N. J., Blythe, J., Sandrine, C., & Campero, C. (2021). Blue growth and blue justice : Ten risks and solutions for the ocean economy. Marine Policy, 125(6), 104387. https://doi.org/10.1016/j.marpol.2020.104387
Bentley, T. G. K., D’Andrea-Penna, G., Rakic, M., Arce, N., LaFaille, M., Berman, R., Cooley, K., & Sprimont, P. (2023). Breathing Practices for Stress and Anxiety Reduction: Conceptual Framework of Implementation Guidelines Based on a Systematic Review of the Published Literature. In Brain Sciences (Vol. 13, Issue 12). Multidisciplinary Digital Publishing Institute (MDPI). https://doi.org/10.3390/brainsci13121612
Caesens, G., Stinglhamber, F., Demoulin, S., & Wilde, M. De. (2014). Perceived Organizational Support and Employees’ Well-Being: The Mediating Role of Organizational Dehumanization. European Journal of Work and Organizational Psychology, 26(4), 1–14. https://doi.org/10.1080/1359432X.2017.1319817
Contreras, F., Baykal, E., & Abid, G. (2020). E-Leadership and Teleworking in Times of COVID-19 and Beyond : What We Know and Where Do We Go. Frontiers in Psychology, 11, 1–11. https://doi.org/10.3389/fpsyg.2020.590271
Cortellazzo, L., Bruni, E., & Zampieri, R. (2019). The Role of Leadership in a Digitalized World : A Review. Frontiers in Psychology, 10(8), 1–21. https://doi.org/10.3389/fpsyg.2019.01938
Francis, T., & Hoefel, F. (2018). ‘True Gen’: Generation Z and its implications for companies. McKinsey & Company.
Hair, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2021). Partial least squares structural equation modeling (PLS-SEM) using R: A workbook (p. 197). In springer Nature (Vol. 30, Issue 1). https://doi.org/10.1080/10705511.2022.2108813
Judge, T. A., Zhang, S., & Glerum, D. R. (2020). Job Satisfaction. In V. I. Sessa, & N. A. Bowling (Eds.), Essentials of Job Attitudes and Other Workplace Psychological Constructs. https://doi.org/10.4324/9780429325755-11
Karatepe, O. M., Rezapouraghdam, H., & Hassannia, R. (2020). Does employee engagement mediate the influence of psychological contract breach on pro- environmental behaviors and intent to remain with the organization in the hotel industry ? Journal of Hospitality Marketing & Management, 00(00), 1–28. https://doi.org/10.1080/19368623.2020.1812142
Molino, M., Ingusci, E., Signore, F., Manuti, A., Giancaspro, M. L., Russo, V., Zito, M., & Cortese, C. G. (2020). Wellbeing Costs of Technology Use during Covid-19 Remote Working : An Investigation Using the Italian Translation of the Technostress Creators Scale. Sustainability, 12, 1–20. https://doi.org/10.3390/su12155911
Orgambidez, A., & Almeida, H. (2020). Social support , role clarity and job satisfaction : a successful combination for nurses. International Nursing Review, 00, 1–7. https://doi.org/10.1111/inr.12591
Raghuram, S., Hill, N. S., & Gibbs, J. L. (2019). VIRTUAL WORK : BRIDGING RESEARCH CLUSTERS. Academy OfManagement Annals, 13(1), 1–34. https://doi.org/10.5465/annals.2017.0020
Roman, A. V., Wart, M. Van, Wang, X., Liu, C., Kim, S., & McCarthy, A. (2019). Defining E-leadership as Competence in ICT-Mediated Communications: An Exploratory Assessment. Public Administration Review, 00(00), 1–14. https://doi.org/10.1111/puar.12980
Saks, A. M. (2019). Antecedents and consequences of employee engagement revisited. Journal of Organizational Effectiveness: People and Performance. https://doi.org/10.1108/JOEPP-06-2018-0034
Sawy, O. A. El, Amsinck, H., & Vinther, A. L. (2021). How LEGO Built the Foundations and Enterprise Capabilities for Digital Leadership. MIS Quarterly Executive, 15(2), 141–166.
Schaufeli, W. B., Bakker, A. B., & Salanova, M. (2006). The measurement of work engagement with a short questionnaire: A cross-national study. Educational and Psychological Measurement, 66(4), 701–716. https://doi.org/10.1177/0013164405282471
Schroth, H. (2019). Are You Ready for Gen Z in the Workplace? California Management Review, 1–14. https://doi.org/10.1177/0008125619841006
Spector, P. E. (2012). Sage Academic Books Job Satisfaction : Application , Assessment , Causes , and Consequences. Sage Academic Books. https://doi.org/10.4135/9781452231549
Van Wart, M., Roman, A., Wang, X., & Liu, C. (2019). Operationalizing the definition of e-leadership : identifying the elements of e-leadership. International Review of Administrative Sciences, 0(0), 1–18. https://doi.org/10.1177/0020852316681446
Vayre, É., Morin-messabel, C., Cros, F., & Maillot, A. (2022). Benefits and Risks of Teleworking from Home : The Teleworkers ’ Point of View. Information, 13(545), 1–19. https://doi.org/10.3390/ info13110545
Wang, L., Zhou, Y., & Zheng, G. (2022). Linking Digital HRM Practices with HRM Effectiveness : The Moderate Role of HRM Capability Maturity from the Adaptive Structuration Perspective. Sustainability. https:// doi.org/10.3390/su14021003
Wang, S., Yang, Y., Yin, H., Zhao, J., Wang, T., Yang, X., Ren, J., & Yin, C. (2025). Towards Digital Transformation of Agriculture for Sustainable Development in China : Experience and Lessons Learned. Sustainability, 17, 3756. https://doi.org/ 10.3390/su17083756
Yulk, G. A. (2013). Leadership in Organizations (8th Editio). Prentice-Hall, Upper Saddle River.
Zeike, S., Bradbury, K., Lindert, L., & Pfa, H. (2019). Digital Leadership Skills and Associations with Psychological Well-Being. International Journal of Environmental Research and Public Health, 16, 2628. https://doi.org/10.3390/ijerph16142628
Published
2026-05-26
How to Cite
Zuhaena, F. (2026). Digital Leadership, Digital Work Environment, and Job Satisfaction among Generation Z Employees: The Mediating Role of Work Engagement. International Journal of Economics, Business and Innovation Research, 5(03), 2971-2987. https://doi.org/10.63922/ijebir.v5i03.3695
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