Main Article Content
This study analyses the frustration in employees due to Exploitative Leadership. The feeling of being undervalued generated in the minds of employees negatively effects the employees’ Psychological well-being and Creativity. Data was collected from employees working in banking sector. Data was collected from 290 respondents through the self-administered questionnaires at one point in time. The moderation and mediation hypotheses were examined through SPSS 25 and PROCESS Macros model 4. The results shows that exploitative leadership decreases the employee creativity and psychological well-being through emotional exhaustion. Moreover the interaction avoidance significantly moderates the negative impact of emotional exhaustion on creativity and psychological well-being. Managerial and practical implications in the banking sector has been discussed.