This study mainly investigates the relationships among paternalistic leadership (PL), psychological contract (PC) and turnover intention (TI) on Indonesian workers in Taiwan. The samples collected by distributing questionnaires and 363 valid questionnaires received. We use the structural equation model (SEM) by implementing SPSS 17.0 and LISREL 8.80 to empirically explore the relationships. The results show that moral paternalistic leadership (PLM) positively affects PC. In the other hand, authoritarian paternalistic leadership (PLA) positively affects TI. PC fully mediates the relationship between PL (moral and authoritarian) and TI. This result study also flourished by the significant support for demographic variable of age, playing moderating effect for PL (moral and authoritarian) and TI.
2012 The 8th Asia Academy of Management Conference