This study aims; to explore leaders’ perceived cultural intelligence, employees’ diversity climate perception and employees’ openness to experience; investigate their effects on organizational cynicism as a negative employee behavior and to emphasize the importance of diversity management. Data were collected from 160 employees working at hotels using a survey instrument. The structured survey instrument included measurements of cultural intelligence, diversity climate perception, organizational cynicism, openness to experience, and several demographic items. To identify the relationship among the study variables, correlation and regression analysis were conducted. The results of the study suggested that employees’ organizational climate perception mediates the relationship between leaders’ cultural intelligence and organizational cynicism. Employees’ openness to experience did not have a moderating effect on the relationship between leaders’ perceived cultural intelligence and employees’ diversity climate perception. This study provides a unique theoretical contribution by examining the effect of leaders’ perceived cultural intelligence on cynicism in a comprehensive model and testing employees’ diversity climate perception as a mediating variable. Developing cultural intelligence of employees and managing diversity effectively in organizations through human resources practices are among the practical solutions of the study.
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